USDJPY Macro Analysis – July 27, 2025

150
We’ve been tracking the yen for months and, since the beginning of the year, have signaled a potential appreciation in its value, largely based on the Bank of Japan’s policy stance.

📉 However, recent price action — particularly the return to prior levels — revealed a shift in Japan’s macroeconomic direction.

🇯🇵 Last week, we saw the first formal confirmations, with Japan making its largest-ever investment in the U.S.
This suggests a new approach to currency valuation, and we may now witness another phase of yen weakness.

🌀 That said, the market remains uncertain and indecisive, so it’s wise to hold off on major long-term entries until further confirmation.

🎯 A tactical entry around the 150 level could be reasonable in the meantime, as we wait for clearer signals.

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