USD/JPY Chart Setup: MACD Crossover Hints at Momentum Shift

USD/JPY has carved out a tightening range, compressing between converging trendlines that suggest an imminent volatility expansion. The MACD indicator shows the signal and MACD lines narrowing toward a potential bullish crossover, a pattern that historically precedes short-term upside momentum in the pair.

Support has held firm near the ascending trendline drawn from the last major swing low, while resistance sits at the recent multi-week high. A daily close above that resistance zone would likely trigger fresh algorithmic buying, whereas a break of trendline support risks a retest of the 100-day moving average.

Elevated safe-haven demand tied to escalating trade tensions between Washington and Ottawa continues to inject two-way volatility into yen crosses.