Pair consolidating above key trend support
USD/JPY has been trading in a range formed since November, but it’s managing to stay above its 50-day moving average, which Société Générale says underscores that upward momentum remains intact. This sets the stage for a potential breakout above the recent trading band.
Bullish breakout attempt above the range
According to Société Générale’s FX analysts, the pair is now “attempting a breakout above the upper boundary of its recent range”. Holding above the moving average near 156 could help fuel this extension of the uptrend.
Next potential upside targets
If the breakout succeeds, Société Générale points to:
A breakout above the range would signal that USD/JPY is moving beyond short-term consolidation and potentially into a renewed uptrend, driven by continued dollar strength and sustained yen weakness. Continued defence of key technical supports strengthens this view.
Summary:
Société Générale sees USD/JPY poised for a breakout above its recent range, thanks to firm support above the 50-day average and upward momentum. Successful clearance of the range could push the pair toward ~159 and possibly ~160.7 on the upside.
USD/JPY has been trading in a range formed since November, but it’s managing to stay above its 50-day moving average, which Société Générale says underscores that upward momentum remains intact. This sets the stage for a potential breakout above the recent trading band.
Bullish breakout attempt above the range
According to Société Générale’s FX analysts, the pair is now “attempting a breakout above the upper boundary of its recent range”. Holding above the moving average near 156 could help fuel this extension of the uptrend.
Next potential upside targets
If the breakout succeeds, Société Générale points to:
- Last year’s peak around 158.90–159.10 as the next objective
- Follow-through targets near 160.70 if momentum continues above these levels.
A breakout above the range would signal that USD/JPY is moving beyond short-term consolidation and potentially into a renewed uptrend, driven by continued dollar strength and sustained yen weakness. Continued defence of key technical supports strengthens this view.
Summary:
Société Générale sees USD/JPY poised for a breakout above its recent range, thanks to firm support above the 50-day average and upward momentum. Successful clearance of the range could push the pair toward ~159 and possibly ~160.7 on the upside.