USDJPY the pair was trending higher but reversed because of Trump’s action on Brazil, pushing their tariffs to 50% even though Brazil has a trade deficit with US. Markets now understand that tariffs are not reciprocal but Trump’s personal feelings that can change instantly. Hence, safe-havens have strengthened. Let’s see if TACO.
USDJPY Ok, so what now? Price reached the 0.75 of the active bearish range. For now, it’s hovering and building a solid structure. On the micro, before tapping 146.411, there was no structure — now, by closing below 146.411, we’ve got a small bullish internal range forming, but it’s key for what comes next.
The area of interest is the blue zone marked — price will likely aim for that, as it stands as the current support of this range. Any clean break and close below 145.963? That’s a strong confirmation of a momentum shift.
So for now, expect a retrace into the blue zone. From there? Well, price will let us know — we’re not fortune tellers here, just observers.