FxWirePro: USD/JPY continues to recovers , upside pressure builds

• USD/JPY edged higher Tuesday after the U.S. and Japan reaffirmed “constant and robust” coordination against excessive currency volatility.

• Japan and the U.S. reaffirmed close coordination on currency markets, Finance Minister Satsuki Katayama said after talks with U.S. Treasury Secretary Scott Bessent on Tuesday.

• Having reportedly spent around $63.7 billion intervening in currency markets, Tokyo is seen relying on Scott Bessent’s visit to reinforce market confidence through supportive messaging from Washington.

• BOJ board members leaned more hawkish in April, with one policymaker pointing to a potential June rate hike as the Iran conflict pushed oil prices higher.

• Minutes from the BOJ’s April meeting showed a divide on the board, with some favouring patience while others saw mounting inflation risks warranting near-term tightening.

•  Immediate resistance is located at 158.00 (Psychological level), any close above will push the pair towards 158.31(SMA 20).

•  Support is seen at 156.57 (Daily low) and break below could take the pair towards 155.81(50%fib).

Recommendation: Good to buy around 157.10, with stop loss of 156.00 and target price of 158.00