USDJPY – The Technical Picture is Bullish, but Watch the BoJUSD/JPYOANDA:USDJPYMihai_IacobIn my previous USDJPY analysis, I highlighted the importance of the 158.00 resistance zone, noting that such a major level could trigger a corrective move. That scenario played out cleanly: a combination of the technical barrier and speculation about a potential BoJ rate hike sent the pair lower into the 154.00 support zone. However—if we zoom in, as shown on the left chart—this entire decline has been contained within a falling wedge, a pattern visible on the lower timeframes. Once USDJPY reclaimed 155.00 and successfully established it as support, the structure shifted decisively. We saw a classic upside break of the wedge followed by a sharp acceleration into the 157.00 handle. The market then printed a new corrective leg, this time tapping directly into the Daily FVG —a clean technical reaction that aligns well with the broader bullish context. Fundamentally, the landscape hasn’t changed much: - A BoJ rate rise is largely priced in, - The outlook for JPY remains structurally weak, - And USDJPY continues to find solid demand on dips. With that in mind, an upside continuation toward the 158.00 resistance looks likely. This level now aligns not only with the resistance but also with the measured target of the falling wedge breakout. At this moment, I am bullish USDJPY, with a negation zone below 154.50. The only caveat: the BoJ is always a wildcard, and officials have not been shy about signaling discomfort with a persistently weak yen. For now, as long as we hold above support, the path of least resistance remains higher. 🚀