Japan FM Suzuki: Rapid currency moves are undesirable.USDJPY bounces off KEY support

Japanese Finance Minister Suzuki speaks over the wire saying:

  • Forex levels should reflect economic fundamentals
  • If currency movements are excessive, we may need to smooth them
  • It is desirable for the foreign exchange market to move steadily, noting that currency market fluctuations are undesirable
  • Rapid currency movements are undesirable because they will harm households and businesses
  • Currency rates are determined by the market, reflecting fundamentals

The US dollar fell against the Japanese yen this week on the back of the announced intervention from the Bank of Japan as well as weak data issued from the United States today.

Technically, the price is back down towards the main swing zone near 151.90.

This area includes the 2022 high, the 2023 high (not shown in the chart below) and older highs from 2024 before the rally began on April 10.

Today's low reached 151.86 before bouncing back higher.

The corrective level rose to 152.62. The lowest price from April 12 before the start of the next rise in the uptrend bottomed at 152.583. The two red lines on the chart below are now close support and resistance. With a move above the 200-bar moving average on the 4-hours chart it comes in at 153.241. This is the next major resistance level on the 4-hour chart.

bouncesCurrencyJapankeyMovesRapidSupportSuzukiundesirable.USDJPY
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