• USD/JPY advanced on Thursday as the dollar held most of its overnight gains as markets pushed out the chance of near-term rate cuts.
• Overnight, the Federal Reserve kept the policy rate at 4.25%-4.5% as expected, but warned that the risks of higher inflation and unemployment had increased..
• Fed Chair Jerome Powell stated that it's uncertain whether the economy will maintain steady growth or falter amid rising uncertainty and a potential inflation spike..
• Markets reduced the likelihood of a US June rate cut to 20%, down from 30% the day before, while the chance of a July cut rose to 70%, compared to nearly certain just a week ago..
• Immediate resistance is located at 144.33 (50%fib), any close above will push the pair towards 145.20(Higher BB).
• Support is seen at 142.31(38.2%fib) and break below could take the pair towards 140.98(Lower BB).
Recommendation: Good to buy around 144.30, with stop loss of 143.60 and target price of 145.50
