The bad news for the Japanese Yen might not be over as the focus turns to the BoJ decision

This article discusses the potential ongoing bad news for the Japanese Yen and the market's focus on the BoJ's policy decisions. The US Dollar is currently weakening due to comments from Trump, but the JPY remains weak due to a lack of fundamental changes. Rising long-term Japanese yields due to fiscal concerns are attracting attention. The BoJ is expected to keep interest rates unchanged on Friday, with potential changes in bond tapering that could negatively impact the yen. Technical analysis indicates USDJPY is consolidating below 158.87, with a better risk-reward entry around 154.50 for buyers. The 4-hour trendline shows bullish momentum with 154.50 in focus. Upcoming catalysts include Trump’s speech in Davos and the BoJ decision.