• USD/JPY dipped on Tuesday as safe-haven flows boosted the yen amid geopolitical tensions and tariff threats.
• U.S. President Donald Trump stated he warned Japan and China against devaluing their currencies, calling it unfair to the United States.
• The remarks heightened market jitters as Trump's 25% tariffs on Mexican and Canadian imports took effect Tuesday, alongside a hike in Chinese duties to 20%, further escalating global trade tensions.
• Trump's criticism of a weak yen and uncertainty over the impact of his tariff threats on global growth could complicate the Bank of Japan's decision on the timing of its rate hike.
• At GMT 08.54,the dollar was down 0.22% at 149.16 against Japanese yen .
• Immediate resistance is located at 150.64 (50%fib), any close above will push the pair towards 151.26(March 3rd high).
• Support is seen at 148.61 (38.2%fib) and break below could take the pair towards 147.28(Lower BB ).
Recommendation: Good to sell around 149.30, with stop loss of 149.60 and target price of 148.50
