The USD/JPY currency pair is ending the trading week with gains near the 159.31 area. Moving averages indicate a bullish trend. Prices have broken above the signal lines, indicating upward pressure from US dollar buyers and potential continued price growth from current levels. Currently, we expect an attempt at price growth and a test of the resistance level near the 159.35 area. This should then be followed by a downward rebound and a continued decline below the 152.05 level.
USD/JPY Weekly Forecast May 25 – 29, 2026
An additional signal favoring a decline in the USD/JPY pair this trading week will be a rebound from the descending trendline on the relative strength indicator. A second signal will be a rebound from the upper boundary of the Head and Shoulders reversal pattern. A strong rally and a breakout of the 161.65 area will cancel out the USD/JPY decline this trading week (May 25-29, 2026). This scenario will indicate a breakout of the resistance area and continued growth in the Forex pair above 164.35. A decline in the USD/JPY pair will be confirmed by a breakout of the support area and a price close below 154.65, which will indicate a breakout of the lower boundary of the Head and Shoulders reversal pattern and the beginning of the pattern’s implementation with targets below.
USD/JPY Weekly Forecast May 25 – 29, 2026 suggests an attempt at a bullish correction and a test of resistance near 159.35. From there, we should expect the pair to continue falling below 152.05. A test of the trend line on the relative strength indicator (RSI) would be an additional signal of decline. A strong rally and a breakout of 161.65 would cancel out the pair’s downward trend. This would indicate a continued uptrend with a potential target above 164.35.
