The USD/JPY pair maintained its upward trajectory during subdued Boxing Day trading, with bulls capitalizing on lighter market volumes. The pair hovered near recent highs as traders remained cautious amid the holiday-thinned liquidity, allowing bullish momentum to persist. Limited economic data and muted market participation provided little resistance to the currency’s steady climb.
Source – FXStreet
Market sentiment continues to favor the dollar, buoyed by hawkish Federal Reserve policy expectations. Meanwhile, the yen faces ongoing pressure from the Bank of Japan’s ultra-loose monetary stance, reinforcing the pair’s bullish bias. As year-end positioning tapers off, traders are eyeing key levels, with 145.00 seen as a potential psychological threshold heading into the final trading sessions of 2024.
