During tomorrow’s Asian trading session, the Bank of Japan will announce its interest rate decision (for more details, see Key Economic Events of the Week 10/24/2022 – 10/30/2022).
Most likely, the rate will remain at the same level of -0.1%. Moreover, “tomorrow a decision will be made on the economic stimulus package,” Japanese Finance Minister Shunichi Suzuki said today.
As we noted in our Fundamental Analysis today, “USD/JPY remains positive. Strong bullish momentum based on fundamentals is pushing it to new all-time highs.”
Two strong support levels at 145.58, 144.00 keep the pair from deeper corrective decline. Only their breakdown will strengthen the negative dynamics of the pair, sending it towards the key support levels 136.60, 133.00. In the main scenario, we expect growth to resume.
Support levels: 145.58, 144.00, 140.00, 136.60, 133.00, 131.00
Resistance levels: 147.04, 148.02, 149.00, 150.00, 151.00, 152.00