USD/JPY is losing ground on Friday as the Japanese yen (JPY) strengthens against the softer U.S. dollar (USD), with falling oil prices providing additional support given Japan’s hefty reliance on imported energy. At the time of writing, the pair is trading around 158.18, down 0.61% on the day.
Despite the decline, the pair remains largely confined to a monthly range of 157.50 to 160.50 and is on track for a third straight weekly decline, reflecting moves in the US Dollar Index (DXY), which tracks the greenback against a basket of six major currencies. The index remains under pressure due to improving market sentiment around a potential peace agreement between the US and Iran.
Oil prices fell by more than 10% after Iran reopened the Strait of Hormuz. Iran’s Foreign Minister Abbas Araghchi stated in a statement made on the 10th that, in accordance with the ceasefire in Lebanon, the passage through the strait was declared open to all commercial ships for the remaining period of the ceasefire, and transit was carried out through coordinated routes designated by Iran’s Ports and Sea Organization.
The pointed decline in oil prices is mitigating immediate inflation risks, reviving expectations for Federal Reserve (Fed) interest rate cuts, while strengthening the Bank of Japan’s (BoJ) gradual policy normalization path.
Looking ahead, investors will be closely monitoring developments around this weekend’s U.S.-Iran talks, and markets will be watching for signs of a lasting peace agreement. However, unresolved differences, especially on nuclear issues, may raise uncertainty.
On the daily chart, USD/JPY maintains a short-term bearish bias as the spot is trading below the 20-day uncomplicated moving average (SMA) Bollinger Bands at 159.20, while only slightly above the lower support at 158.15. This setup suggests that the recent pullback has not yet resolved and the pair is trading in the lower half of its volatility envelope; A relative strength index (RSI) below 50 at 46 and a negative moving average convergence divergence (MACD) reading around -0.20 indicate that downside momentum continues to outpace buying interest.
On the upper side, initial resistance is located at the Bollinger SMA midline near 159.20, with a stronger barrier emerging in the upper band around 160.25, where renewed selling pressure could re-emerge if the pair attempts a rebound. On the other hand, immediate support is seen in the lower Bollinger Band near 158.15; a daily close below this level would expose it to deeper losses from previous low prices, while holding above this level would limit the pair to corrective consolidation within a broader uptrend.
(The technical analysis for this story was written with the aid of an AI tool.)
Today’s Japanese Yen price
The table below shows the current percentage change of the Japanese Yen (JPY) against the major listed currencies. The Japanese yen was strongest against the US dollar.
| USD | EUR | GBP | JPY | BOOR | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.12% | -0.19% | -0.62% | -0.20% | -0.28% | -0.16% | -0.51% | |
| EUR | 0.12% | -0.07% | -0.52% | -0.09% | -0.17% | -0.05% | -0.41% | |
| GBP | 0.19% | 0.07% | -0.45% | -0.02% | -0.10% | 0.02% | -0.33% | |
| JPY | 0.62% | 0.52% | 0.45% | 0.44% | 0.35% | 0.46% | 0.12% | |
| BOOR | 0.20% | 0.09% | 0.02% | -0.44% | -0.08% | 0.02% | -0.31% | |
| AUD | 0.28% | 0.17% | 0.10% | -0.35% | 0.08% | 0.12% | -0.23% | |
| NZD | 0.16% | 0.05% | -0.02% | -0.46% | -0.02% | -0.12% | -0.35% | |
| CHF | 0.51% | 0.41% | 0.33% | -0.12% | 0.31% | 0.23% | 0.35% |
The heat map shows the percentage changes of the major currencies relative to each other. The base currency is selected from the left column and the quote currency from the top row. For example, if you select Japanese Yen from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent JPY (base)/USD (quote).
