Last week, during the Japan–U.S. tariff talks, currency (exchange rates) was not discussed. Because of that, the dollar weakened and USD/JPY fell to 141.62 yen. However, it later went back up to 143.08 yen.
This week, the finance ministers of Japan and the U.S. are expected to talk about exchange rates. As a result, there may be pressure to stop the yen from weakening too much.
Also, U.S. President Trump is pushing the Federal Reserve (FRB) to lower interest rates, and there are concerns about stagflation (when inflation stays high but the economy is weak). Because of these reasons, it’s easy for the dollar to fall further.
Many believe the USD/JPY rate might drop below the 140 level. People are also watching the low point of 139.58 yen, which happened last September. Before it reaches that point, some buying might happen.
Today’s USD/JPY Forecast Range: 141.80 yen – 142.40 yen
This Week’s USD/JPY Forecast Range: 139.60 yen – 143.10 yen
Note: This information is not a guarantee of profit. Please make your own decisions when trading.