Investors expect the Federal Reserve to raise interest rates by up to 100 basis points.

The market expects the Bank of Japan to maintain negative interest rates.

The difference in yield between the US dollar and the Japanese yen may reach 300 basis points.

Today's USD/JPY forecast is bullish as the Federal Reserve will raise interest rates by a full percentage point later today. Undoubtedly, the Bank of Japan will maintain negative interest rates tomorrow, consolidating its position as the only global dove in developed markets.

Today's USD/JPY forecast is bullish as the Federal Reserve will raise interest rates by a full percentage point later today. Undoubtedly, the Bank of Japan will maintain negative interest rates tomorrow, consolidating its position as the only global dove in developed markets.

USD/JPY Important Events Today

The Federal Reserve will hold a rate decision meeting later today and is expected to raise interest rates by 75 basis points.

The Bank of Japan is expected to maintain interest rates at -0.10% later today. There will also be a monetary policy statement from the Bank of Japan, which includes a discussion of the economic factors that the Bank of Japan considers when deciding to purchase assets and the results of the decision.

USD/JPY Technical Forecast: Tight consolidation along the 30 simple moving average

The 4-hour chart shows the price swing trend. The price is slightly higher than 30-SMA, and the RSI is slightly higher than 50. Although the bulls have slightly strengthened before, prices are within a very narrow range, and bears may soon take over.

The price is also trading within a larger range, with resistance at 144.954 and support at 142.015. The previous trend was bullish, which made it more likely for bulls to retest resistance at 144.954 and potentially break above. However, if the bears win, the price will be retested at 142.015.

USD/JPY forecast: The difference in yield between USD and JPY is increasing (forexcruch. com)