The USD/JPY currency pair on Thursday bounced off the trendline support at about 150.40 to trade at about 151.62. The currency pair appears to be trading within an ascending channel formation in the 60-minute chart.

The pair has now ascended to trade a few levels above the 100-hour moving average line. As a result, the currency pair appears to be on the verge of entering the overbought levels of the 14-hour RSI.

USD/JPY Fundamentals Overview

From a fundamental perspective, the USD/JPY currency pair is trading at the back of a relatively busy period in both markets. On Thursday, the initial jobless claims for the week ending March 15 beat the expected claim count of 215k with a tally of 210k. The Philadelphia Fed Manufacturing Survey for March also outshone the estimate of -2.3 with a reading of 3.2.

Elsewhere, the preliminary S&P Global Manufacturing PMI for March beat the expectation of 51.7 with a reading of 52.5. The Services PMI for the period missed the estimate of 52 with a reading of 51.7. Earlier in the week, the Federal Reverse chose to keep the base interest rate pegged at 5.5% in line with estimates.

In Japan, imports for February missed the expected (YoY) change of 2.2% with a change of 0.5%, while exports outshone the forecasted change of 5.3% with a change of 7.8%. Earlier in the week, the Bank of Japan hiked the base interest rate from -0.1% to 0% in line with expectations. Traders will be looking forward to the National Consumer Price Index data early on Friday.

USD/JPY Technical Analysis (the 60-min Chart)

Technically, the USD/JPY currency pair appears to be trading within an ascending channel formation in the 60-minute chart. The 14-hour RSI also seems to support a short-term bullish bias after rallying closer to the overbought conditions.

Therefore, the bulls will be targeting extended gains at about 152.22 or higher at 152.78. On the other hand, the bears will look to pounce on potential pullbacks at about 151.02 or lower at 150.40.

USD/JPY Technical Analysis (the Daily Chart)

In the daily chart, the USD/JPY currency pair appears to be trading within an ascending channel formation. The 14-day RSI also seems to support a bullish bias as it moves closer to overbought conditions.

Therefore, the bulls will be looking to ride the current run of gains toward 154.10 or higher at 156.63. On the other hand, the bears will look to pounce on profits at about 148.91 or lower at 146.32.