The USD/JPY currency pair on Thursday briefly slipped to trade at a session low of about 155.31 before bouncing back to consolidate at 155.60. The currency pair continues to trade within an ascending channel formation in the 60-minute chart. 

The pair has now advanced to trade several levels above the 100-hour moving average line. As a result, the currency pair appears to be trading closer to 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 the US market. On Thursday, the preliminary annualised US gross domestic product for Q1 missed the expected change of 2.5% with a change of 1.6%, down from 3.4% in the preceding period.

The preliminary US gross domestic price index for the quarter improved to 3.1% up from 1.7% in the previous quarter. On the other hand, the preliminary core personal consumption expenditures for the period outshone the forecasted (QoQ) change of 3.4% with a change of 3.7%, up from 2% in the preceding quarter.

On the other hand, the initial US jobless claims for the week ending April 19 beat the forecasted claim count of 214k with a tally of 207k, while the pending home sales for March outperformed the forecasted (MoM) change of 0.3% with a change of 3.4%.

In Japan, traders will be looking forward to the Japanese consumer price index and ex-food and energy and ex-fresh food later on Thursday.

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 has also advanced to trade closer to overbought conditions, indicating a bullish bias.

Therefore, the bulls will be targeting extended gains at about 155.73 or higher at 155.87. On the other hand, the bears will look to pounce on pullbacks at about 155.47 or lower at 155.31.

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 strong bullish bias after entering overbought conditions.

Therefore, the bulls will be looking to ride the current run of gains toward 156.77 or higher at 158.01. On the other hand, the bears will look to pounce on profits at about 154.24 or lower at 152.91.