FxWirePro: USD/JPY recovers from seven-month low , downside risk remains

• USD/JPY recovered from seven month low on Thursday as traders took some heart from trade talks between the U.S. and Japan.

• Trump claimed that there had been "big progress" in these discussions, which may indicate a more favorable outcome for U.S. interests in future trade agreements with Japan. However, details on specific tariff concessions were not immediately shared.

• Japanese Economy Minister, Akira Amari, stated that Japan and the U.S. agreed to hold another round of talks this week. The upcoming second meeting indicates that both parties are keen on resolving key issues, including trade and tariff-related matters

• Despite the uptick in USD/JPY, the upside potential for the U.S. dollar remains somewhat constrained.

• Risk aversion is prevalent in global markets, with investors looking to safe-haven assets amid the ongoing uncertainty regarding trade policies and tariff discussions.
 
•  Immediate resistance is located at 143.75 (38.2%fib), any close above will push the pair towards 144.71(April 11th high).

• Support is seen at 141.51(23.6%fib) and break below could take the pair towards  140.32(Lower BB).

Recommendation: Good to sell around 143.00, with stop loss of 144.00 and target price of 140.50