eFXData

eFX Apex

The Institutional-Grade Data Hub

  • Plus: Discretionary Trades
  • Edge: Sentiment Trades
  • Alpha: Systematic Trades
  • Apex: Full Big Data Stream
TDUX
Oct 06 - 08:55 PM
–

USD/JPY - Up On 158 But Upside Limited? BOJ More Hawkish?

By Haruya Ida  —  Oct 06 - 08:24 PM

• USD/JPY buoyant and back on 158 handle, Asia so far 158.07-40 EBS

• Still towards top of recent core range between daily Ichi kijun, 200-DMA

• 200-DMA 158.52 and market seen heavy above, daily kijun flat at 156.64 below

• Daily Ichimoku cloud 159.42-59 but looking to decline, to 156.64-158.44 soon

• Potential for USD/JPY to break back above cloud

• Spot tracking away from 157.95 100-HMA, 157.62-94 hourly Ichimoku cloud

• $1.2 bln option expiries between 158.00-20 providing gravitational pull

• Also $663 mln between 158.30-60 strikes, $1.3 bln today on 157 handle

• JGB-US Treasury 2-year rate differentials off recent highs, in 10s wider

• Reflationist new BOJ Policy Board member Sato now says supports rate hikes

• Sato dissented at last BOJ meeting in favor of hold alongside newcomer Asada

• Sato thus more likely to support another BOJ hike come December

• That said, fresh Nikkei gains could again see fresh JPY currency hedging

• As to Japanese exporters, more aggressive sales seen on better bid USD/JPY

• Related comments , , , also

• US markets , , ,

• On BOJ Sato , , Fed-speak

• On US economy , for more click on [FXBUZ]

USD/JPY:


Nikkei 225:


JGB-US Treasury 10-year interest rate differential:


(Haruya Ida is a Reuters market analyst. The views expressed are his own)

Source:
London Stock Exchange Group | Thomson Reuters
By continuing to browse our site, you agree to our use of cookies, Privacy Notice, and Terms of Service.
© 2026 eFXdata · All Rights Reserved