The prospect of the Bank of Japan discontinuing negative rates early in the second quarter is likely to be supportive of the yenThe Japanese yen has weakened significantly against its top peers in 2024 on Bank of Japan’s dovish position. While major central banks around the world have lifted rates aggressively over the past two years to tacklein Japan, however, could be drawing to a close, potentially as soon as the early months of the second quarter.
Want to know where the Japanese yen is headed over the coming months? Explore all the insights available in our quarterly forecast. Request your complimentary guide today!/JPY climbed on Thursday, approaching resistance at 150.85. If gains pick up pace in the coming days and break above the 151.00 handle, buyers may get emboldened to initiate a bullish assault on last year’s high near 152.00.
In case of a bearish reversal, support is anticipated at 161.50 and 160.70 thereafter. On further weakness, all eyes will be on the 100-day simple moving average located near 159.60. Below this level, the 50-day simple moving average could act as the next shield against additional losses.GBP/JPY rallied on Thursday, hitting a fresh multi-year high above 190.50. With bullish momentum intact, additional upside potential is likely in the short term, with the next resistance threshold at 192.