[USD/JPY near 162] Will the government’s "foreign exchange intervention" really happen from tomorrow? Thorough analysis
Now, the USD/JPY is161.80〜161.95 yen nearby. It is approaching the historic milestone of “162.00 yen,” and it is in a countdown state where a government or Bank of Japan currency intervention (yen buying) could occur at any moment.
I have summarized three key points to watch in tomorrow's market.
1. Defense line is “162.00 yen”
This is the level the market is most wary of. If it breaks through or rises sharply after surpassing this level (volatility jumps), it is highly likely to trigger actual intervention.
2. Acute “jawboning” by the U.S. and Japan
With reports of online talks between Finance Minister Katayama and U.S. Treasury Secretary Yellen, the governments are fully on standby. Buyers in the market are bracing near 162 yen out of fear that it could drop at any moment.
3. Important indicators in the latter half of this week as a potential trigger
Whether it comes tomorrow depends on the speed of the rise. However, major indicators such as the U.S. employment report are due later this week. The moment the indicators trigger a rapid breakout past 162 yen is the biggest warning point.
Summary: Survival tactics for this week
The current USD/JPY is a minefield, where you never know when it will explode.
If intervention is launched, a flash decline could erase several yen in an instant.
✅ Trade size (position size) should be reduced more than usual
✅ Never forget to place stop orders
First, prioritize “survival,” and trade cautiously!