• USD/JPY strengthened on Friday as yen weakened after the Bank of Japan signalled it was in no rush to raise interest rates again after keeping them steady at 0.25% as widely expected.
• The dovish comments weakened the yen, increasing uncertainty about whether the BOJ would raise interest rates again this year, despite many market participants' predictions.
• Markets were also digesting data on Japanese consumer prices, out on Friday, which showed core inflation ticked up to 2.8% in August, while overall inflation hit 3.0%.
• At GMT 16:29, the pair was up at 0.83 percent at 143.82, having touched day low at 141.91 earlier in the day.
• Immediate resistance is located at 144.39 (38.2%fib), any close above will push the pair towards 145.00 (psychological level).
• Support is seen at 141.54 (23.6%fib) and break below could take the pair towards 140.47 (Lower BB
Recommendation: Good to buy around 143.70 with stop loss of 143.00 and target price of 145.00
