Japanese yen collides against USD for several weeks; There is no bullish conviction in the middle of Dovish Boj

• The Japanese yen turns the USD to a newlyweds of the Asian session sauce.
• The prospect and positive risk of the BOJ Dovind can pull the safe JPY upside down.
• Traders may also refrain from placing aggressive stakes in front of an important NFP report in the United States.

The Japanese Yen (JPY) will recover slightly from three weeks of low, touching on his American colleague at the Asian session on Friday. Some relocation before US farms' payroll report (NFP) reports fresh stakes. This with the US Dollar (USD) price action contributes to the neighborhood of USD/JPY up to 146.00.

Jpy's upside down on Thursday appears to be limited on the back of the Japan Bank (Boj) Dovind break. In fact, Boj reduced his forecasts in economic growth and inflation in the current year, which increased trade uncertainty. This forced investors to reject their contributions to further interest rates. In addition, signs of relieving tensions in US-China trade could act as a safe JPY stop.

Japanese yen bears become cautious about the US NFP report; Boj's Dovish Outlook can cover upside down

• The Japanese bank, as widely expected, kept short-term interest rates permanently 0.5% and created a cautious tone, reducing its growth and inflation forecasts. The Central Bank hopes that the Japanese economy will increase by 0.5% in the current financial year, compared to 1.1% in January compared to its earlier projection and changed its CPI forecast from 2.4% to 2.2% fiscal 2025.
• Boji governor Kazuo Ueda said at a post -meeting press conference that trade policy uncertainty increased sharply and the timing was somewhat delayed to achieve the goal of 2% inflation. This forced investors back to the next Boj interest rate hike in June or July and dragged Japanese yen to the lower day on Friday.
• But Boj reiterated that he was still committed to further increasing interest rates as the economy and prices move according to their forecasts. However, this gives little to the impression of JPY Bulls, in the middle of the latest optimism, incited by hopes for US-China trade negotiations, which still generally support the positive tone in global stock markets.
• In fact, Chinese national media announced on Thursday that US President Donald Trump administration had used various channels to contact Beijing and tried to initiate tariff negotiations. The statement follows Trump's allegations that the conversations between the two countries were already underway – a claim that China has repeatedly denied publicly denied.
• Japanese Finance Minister Katsunobu Kato said this Friday that the US Treasury's stake would be $ 1 trillion plus a plus tool to use in trade negotiations with the US. Kato also said that his meeting with Scott Besent, Secretary of the US Treasury last week, did not discuss the level of exchange rates or the possible framework for checking the currency passages.
• On the Economic Data Front, the Japanese Statistical Office today showed that the unemployment rate reached 2.5% in March, compared to 2.4% last month. Japan's average unemployment rate in 2024 fell by 0.1% a year earlier, marking the first two -year improvement behind labor shortages.
• The Ministry of Labor announced on Thursday that the initial unemployed requirements grew from 223,000 to 241,000 in the week ending April 26, marking the highest level from February. Moreover, the PMI of the US ISM production remained firmly in the second straight month in the contraction territory, although it fell less than expected, 49.0-48.7 in April.
• It is, in addition to the disappointing US ADP report on private sector employment, and points to the cooling labor market signs. In addition, the US GDP continues for the first time after 2022 and the relief of inflationary pressure will continue to relieve inflationary pressure for higher interest rates for higher interest rates later this year.
• However, the US dollar seems unaffected and hopes that it will be at a three -week peak for a three -week rise, which in turn pushes USD/JPY on Friday at 146.00 in the neighborhood of Asian session. Traders are now waiting for the payroll report of the US farms' payroll on tips and some meaningful impetus on tips.

USD/JPY rises to a 4-hour chart near 200-period SMA, before 146.00 sign

From a technical perspective, the March -April decline was considered to be the 38.2% Fibonacci retreat level overnight and the psychological sign 145.00 as the main trigger of bullish traders. Besides, oscillators per day chart Has just begun to achieve positive traction and suggest that the USD/JPY pair of the smallest resistance is upside down. The following moves up from 50% of FIBO. However, a 4-hour chart of 200-period 200-period is near a simple moving average (SMA).

This will change the purchase of a reasonable waiting control that exceeded 146.00 before positioning the extension of recent well -being from a multi -month low shallow shallow. Spot prices can then rise to 146.55-146.60 replacement before the goal is to test 61.8% FIBO. Level, around 147.00 around the neighborhood.

On the valve side, the 145.25 area could provide immediate support before 145.00 a round number. Any further corrective slide may now be considered a purchase opportunity and remain near the area 144.30-144.25 or 38.2% near Fibo. Level. However, a convincing pause below the latter can cause technical sales and drag USD/JPY pairs below 144.00, 143.00 in the middle of 143.20 and finally to Lower-143.00.