USDJPY Analysis: Hike expectations boost the yen

In this comprehensive analysis, Ultima Markets brings you an insightful breakdown of the USDJPY for FEB 6, 2025.

Fundamental Analysis of USDJPYUSDJPY Key Takeaways

  • US data: US ISM non-manufacturing PMI for January was 52.8, significantly lower than the expected 54.3 and the previous value of 54.1. US ADP employment in January was 183,000, the highest since October last year, and the market expected 150,000.
  • Rate hike expectations support the yen: The yen rebounded against all major currencies after better-than-expected wage data in Japan supported the Bank of Japan’s case for continued rate hikes. Bank of Japan board member Naoki Tamura said today that the Bank of Japan must raise interest rates to at least 1% in the second half of fiscal 2025, and the risk of rising prices will increase.

Technical Analysis of USDJPY Daily and Hourly ChartsUSDJPY Daily Chart Insights

(USDJPY Daily Price Chart, Source: Ultima Markets MT4)

  • Stochastic oscillator: After the indicator lingered below the 50 median line for a period of time, it sent out a short signal again. The clear downward trend suggests that the short-term short force has the upper hand, and investors should pay attention to the appreciation of the yen.
  • Support price: Yesterday, USD/JPY quickly fell to the green 200-day MA. Theoretically, there is a probability of rebound in the Asian session. Then the next target should be 151.171.

USDJPY 1-hour Chart Analysis

(USDJPY H1 Price Chart, Source: Ultima Markets MT4)

  • Stochastic oscillator: Yesterday, the indicator diverged from the bottom twice in a row. The exchange rate rebounded during the Asian session today, but the indicator still did not rise above the 50 median line. Investors need to be alert to the possibility of continued rebound during the Asian session.
  • Rebound TARGET: If USD/JPY continues to rebound, the first target will be the purple 13-period MA. If the exchange rate continues to break through the key resistance level of 152.761, the second target of the yen rebound will be the black 65-period MA.

Pivot Indicator Insights for USDJPY

(USDJPY M30 Price Chart, Source: Ultima Markets APP)

  • According to Pivot Indicator in Ultima Markets APP, the central price of the day is established at 153.10,
  • Bullish Scenario: Bullish sentiment prevails above 153.10, first target 153.65, second target 154.20;
  • Bearish Outlook: In a bearish scenario below 153.10, first target 151.70, second target 151.30.

How to Navigate the Forex Market with Ultima Markets To navigate the complex world of trading successfully, it’s imperative to stay informed and make data-driven decisions. Ultima Markets remains dedicated to providing you with valuable insights to empower your financial journey.

For personalized guidance tailored to your specific financial situation, please do not hesitate to contact Ultima Markets.

Join Ultima Markets today and access a comprehensive trading ecosystem equipped with the tools and knowledge needed to thrive in the financial markets.

Stay tuned for more updates and analyses from our team of experts at Ultima Markets.

—–

Legal Documents

Ultima Markets, a trading name of Ultima Markets Ltd, is authorized and regulated by the Financial Services Commission “FSC” of Mauritius as an Investment Dealer (Full-Service Dealer, excluding Underwriting) (license No. GB 23201593). The registered office address: 2nd Floor, The Catalyst, 40 Silicon Avenue, Ebene Cybercity, 72201, Mauritius.

Copyright © 2025 Ultima Markets Ltd. All rights reserved.

Disclaimer  

Comments, news, research, analysis, price, and all information contained in the article only serve as general information for readers and do not suggest any advice. Ultima Markets has taken reasonable measures to provide up-to-date information, but cannot guarantee accuracy, and may modify without notice. Ultima Markets will not be responsible for any loss incurred due to the application of the information provided. 

Regulation: FSC (British Virgin Islands), CySEC (Cyprus), FSCA (South Africa)
read more
China’s GDP Surprise Boosts Risk Currencies, CPI Eyed

China’s GDP Surprise Boosts Risk Currencies, CPI Eyed

China’s Q2 GDP surprise at 5.2% YoY sparked a positive reaction across global markets on July 15, 2025. Commodity currencies like AUD and NZD advanced modestly, while Gold hovered near $3,350 ahead of key U.S. CPI data. The Japanese Yen weakened despite safe-haven flows, as 10-year JGB yields hit their highest since 2008, highlighting BoJ-Fed policy divergence.
Moneta Markets | 13h 7min ago
USDJPY, GBPUSD, BTCUSD

USDJPY, GBPUSD, BTCUSD

US CPI may offer clues on Fed's next move; USDJPY points up; UK CPI expected to remain steady; GBPUSD tilts down; Bitcoin flies above 123,000; next target at 125,000
XM Group | 1 day ago
ATFX Market Outlook 14th July 2025 

ATFX Market Outlook 14th July 2025 

Trump issued a letter late on Thursday that said a 35% tariff rate on all imports from Canada would apply from August 1. Wall Street ended lower on Friday, with Meta Platforms weighing on the S&P 500 after President Donald Trump intensified his tariff offensive against Canada, amplifying the uncertainty swirling around U.S. trade policy.
ATFX | 1 day ago
Dollar Dominates After Trump’s Trade Strike| 11th July, 2025

Dollar Dominates After Trump’s Trade Strike| 11th July, 2025

On July 10, silver extends gains toward $36.50 amid rising macro uncertainty and safe-haven demand. The US Dollar weakens, boosting AUD and NZD. USD/JPY trims early losses as BoJ hike hopes fade, while EUR/JPY retreats from highs on softening sentiment. Markets brace for US Jobless Claims to guide the next leg in global risk and Fed rate expectations.
Moneta Markets | 4 days ago
ATFX Market Outlook 11th July 2025

ATFX Market Outlook 11th July 2025

U.S. stock indices, the S&P 500 and Nasdaq, closed slightly higher on Thursday, both reaching new record closing highs. Optimism was boosted by Delta Air Lines' positive earnings forecast and Nvidia's record-breaking market capitalisation, helping investors remain unfazed by Trump’s latest tariff announcements.
ATFX | 4 days ago
ATFX Market Outlook 10th July 2025

ATFX Market Outlook 10th July 2025

U.S. President Donald Trump announced new tariffs on seven countries, stating earlier this week that a 25% tariff would be imposed on Japan and other trade partners starting in August. Despite this, Wall Street closed higher on Wednesday, with the tech-heavy Nasdaq leading the gains.
ATFX | 5 days ago