FxWirePro: USD/JPY edges higher as yen weakens on BOJ policy uncertainty

• USD/JPY  edged higher on Tuesday as yen remained under pressure on  growing uncertainty over the Bank of Japan’s policy outlook.

• The Bank of Japan is likely to hold off raising interest rates next week, five sources familiar with its thinking said, as fading prospects of a near-term end to the Middle East war keep the country's economic and price outlook uncertain.

• Japan will take necessary steps while closely monitoring oil prices and the global economy, Finance Minister Satsuki Katayama said, amid concerns over Middle East tensions impacting energy markets.

• Meanwhile, markets remain focused on US-Iran peace negotiations, with both sides expected to send delegations to Islamabad for a second round of talks before the current ceasefire expires.
 
• Immediate resistance is located at 159.21(SMA 20), any close above will push the pair towards 160.20(Higher BB).

•  Support is seen at 158.31 (Lower BB) and break below could take the pair towards 157.25(38.2%fib ).

Recommendation: Good to buy  around 158.90, with stop loss of 158.00 and target price of 159.60