USD/JPY edged up to about 157.60 in Asia, with the yen down 0.25% after sharp recent gains linked to joint intervention by Japan’s finance ministry and the US Treasury following a slide to its weakest level against the dollar since 1986. The dollar steadied after Monday’s rebound, while the Dollar Index (DXY) held near 100.00 as markets looked ahead to US labour indicators this week, including Nonfarm Payrolls (NFP). Attention on Tuesday turns to June JOLTS Job Openings at 14:00 GMT, with expectations for 7.45 million versus 7.594 million in May.
Technically, USD/JPY was around 157.58 and remained below the 20-day exponential moving average (EMA) at 161.14, keeping near-term bias skewed lower. Price action points to a Head and Shoulders formation, with the potential right shoulder seen near 160.00. The Relative Strength Index (RSI) stood at 26.90, indicating oversold conditions; 160.00 is a near-term barrier, with 155.10 as the neckline area. A move above the July 16 low near 162.00 would shift bias higher, opening scope towards 164.00.
