EL7.AI
ForexUpdated×2•Originally published 21 July 2026•Updated 21 July 2026•
1 min read

USD/JPY Gains Persist Despite Intervention as EUR/USD Holds Key Support

Industrial illustration of USD, JPY, and EUR symbols with an 'Intervention' shield and maps on an orange background.

Key Facts

1USD/JPY managed to break above the short-term resistance zone of 161.95, indicating an ongoing strong advance.
2USD/JPY prices bounced back after falling toward 160.50-160.70 on suspected market intervention.
3EUR/USD is holding above intraday support at 1.1380 while advancing toward 1.1481.

Amid diverging monetary policy paths among major central banks, the US Dollar continues its upward momentum against the Japanese Yen, breaching significant technical resistance zones. According to reports, the USD/JPY pair successfully broke above the short-term resistance at 161.95, signaling a persistent bullish trend. The pair saw a swift recovery after a brief dip toward the 160.50-160.70 range, a move widely attributed to suspected market interventions by Japanese authorities.

These fluctuations coincide with mounting pressure on the Yen following weak domestic economic data, with official reports showing machinery orders plunged 12.4% month-on-month in July 2026, far exceeding negative forecasts. Meanwhile, the EUR/USD pair demonstrated relative resilience by holding above intraday support at 1.1380, as traders eye a potential advance toward 1.1481 supported by stabilizing inflation indicators across the Eurozone.

Looking ahead, market participants are focusing on a series of speeches from Federal Reserve officials, including Williams and Cook, for clues on the future of US interest rates. Additionally, the upcoming release of the Fed's Beige Book will be closely monitored to assess broader economic conditions and their impact on the Dollar's near-term strength.