The 4-hour chart for USD/JPY shows that the pair has been consolidating within a long-term range between the 140 and 151 levels. As the US Dollar Index failed to break above the 100.50 level, USD/JPY also was unable to break above the 151 resistance.
After hitting this strong resistance, the pair broke below 148.30 and continues to trade lower. The near-term outlook for USD/JPY remains strongly bearish, with the next target near 142. A break below 140 would breach the long-term support and could trigger a sharp drop in the pair.
The orange zone on the chart highlights a key consolidation area. As long as the pair remains within this zone, the overall direction will remain uncertain.
