• USD/JPY declined sharply on Thursday as escalating middle east geopolitical tensions and weaker dollar supported the safe-haven Japanese yen.
• The U.S. flagged slow progress in nuclear talks with Iran, as Israel threatened action if talks collapse. Trump urged restraint from Netanyahu to prevent further escalation.
• Escalating tensions with Iran supported demand for safe-haven assets after President Trump announced on Wednesday that U.S. personnel were being withdrawn from the Middle East due to increased security concerns.
• Meanwhile, greenback dipped after U.S. consumer prices increased less than expected in May, driven by cheaper gasoline, though inflation could accelerate due to import tariffs.
• Immediate resistance is located at 144.95 (Daily high), any close above will push the pair towards 145.48(61.8%fib).
• Support is seen at 141.80(50%fib) and break below could take the pair towards 141.93(38.2%fib).
Recommendation: Good to sell around 144.00, with stop loss of 144.70 and target price of 143.20
