Dollar Strength Continues: USDJPY Eyes Bounce From 158.800!USD/JPYOANDA:USDJPYJoeChampionHey Traders, In today’s trading session, we are monitoring USDJPY for a buying opportunity around the 158.800 zone. The pair remains in a strong uptrend and is currently undergoing a corrective phase, approaching a key support and resistance area near 158.800, which aligns with the overall bullish structure. From a fundamental perspective, USDJPY continues to be driven primarily by the divergence between US and Japanese monetary policy. On the US side, the Federal Reserve is maintaining a “higher for longer” stance as inflation risks re-emerge, largely fueled by the recent surge in oil prices and ongoing geopolitical tensions. Rising yields in the United States are supporting the US dollar, keeping it attractive relative to other currencies. In contrast, the Bank of Japan continues to maintain an accommodative stance despite gradual adjustments in its policy framework. Japanese interest rates remain significantly lower than those in the US, preserving a wide yield differential. This gap continues to favor USDJPY to the upside, as capital flows seek higher returns in dollar-denominated assets. Additionally, the current global environment—marked by inflation uncertainty and energy-driven price pressures—further reinforces demand for the US dollar. While geopolitical risks typically support safe-haven currencies like the yen, in this case, the yield advantage of the dollar is dominating, limiting yen strength. Technically, USDJPY remains firmly bullish as long as it holds above key structural levels. The current pullback toward the 158.800 zone could provide a favorable entry for buyers looking to align with the prevailing trend, especially if price action confirms support in this area. Overall bias: bullish, with a preference for buying dips within the uptrend