Bearish momentum builds as price slips below key SMAs
The post Bearish momentum builds as price slips below key SMAs appeared on BitcoinEthereumNews.com.
The Japanese Yen (JPY) remains on the front foot against the US Dollar (USD) on Tuesday, with growing intervention risks and broad-based weakness in the Greenback reinforcing downside pressure on the pair. At the time of writing, USD/JPY trades near 153.06, hovering around over two-month lows after last week’s sharp reversal. While there has been no official confirmation of direct intervention so far, Japanese officials have continued to issue firm warnings, saying they are watching FX developments with a strong sense of urgency and are prepared to “take appropriate action” against excessive moves. Markets are now looking ahead to the Federal Reserve’s (Fed) interest rate decision on Wednesday. While no rate change is expected, traders will focus on the Fed Chair Jerome Powell’s tone and guidance. Any signal that rate cuts could come later this year may weigh further on the US Dollar and push USD/JPY lower. On the other hand, a more cautious or hawkish message could offer the pair some near-term support. From a technical perspective, the near-term outlook for USD/JPY has turned bearish, with prices slipping decisively below key moving averages. On the daily chart, the shorter-term Simple Moving Averages (SMAs) have rolled over, while the 100-day SMA still edges modestly higher. However, price is now trading below the 21, 50 and 100-day SMAs. Momentum indicators are also leaning lower. The Moving Average Convergence Divergence (MACD) line sits below the Signal line and beneath zero, with a deepening negative histogram that suggests strengthening downside momentum. Meanwhile, the Relative Strength Index (RSI) has fallen to around 28, pushing into oversold territory and showing the strength of the recent sell-off On the downside, a sustained break below the 153.00 handle would expose the October 29 low at 151.54, followed by the 150.00 psychological level. A clear move below 150…
Filed under: News - @ January 27, 2026 8:24 pm