• USD/JPY edged higher on Tuesday, but gains were limited as markets assessed the timing of further Japan rate hikes and the risk of intervention.
• Bank of Japan policymakers debated the need for further rate hikes, minutes showed, after the bank raised its policy rate earlier this month to a 30-year high of 0.75% from 0.5%..
• Finance Minister Satsuki Katayama said last week Japan has a free hand to counter excessive yen moves, with similar official comments helping check the currency’s recent weakness against the dollar.
• BOJ Governor Kazuo Ueda reiterated on Thursday that the central bank is ready to keep raising rates if economic and inflation conditions warrant, lending further support to the yen.
• Immediate resistance is located at 157.33(Higher BB), any close above will push the pair towards 157.64 (23.6%fib).
• Support is seen at 155.91(SMA 20) and break below could take the pair towards 155.00 (Psychological level)
Recommendation: Good to sell around 156.30 with stop loss of 157.20 and target price of 155.50
