USD/JPY flirts with intervention zone

• USDJPY trades sideways a tad below 152.00.

• This level was protected by Japanese authorities in 2022.

• Momentum indicators approach overbought conditions.

USDJPY has been in a steady uptrend after finding its feet at the 200-day simple moving average (SMA) in early March. In the near-term, the pair has been trading flat after posting a fresh 34-year high of 151.95, approaching levels that Japanese authorities were willing to protect in the past.

Should bullish pressures persist, the price might retest the 34-year peak of 151.95. Surpassing that zone, the pair could storm to fresh highs before it meets resistance at the 153.00 round number. Further upside attempts could then come to a halt at 154.64, which is the 123.6% Fibonacci extension of the 151.90-140.24 downleg.

On the flipside, if the pair experiences a pullback, the recent support of 150.87 that also acted as resistance in February could prove to be the first barricade for the bears to overcome. Even lower, the price could encounter strong support at the 78.6% Fibo of 149.40. A violation of that hurdle may set the stage for the 61.8% Fibo of 147.44.

Overall, USDJPY remains stuck within the 151.00-152.00 range as the bulls appear hesitant to propel the price above the 2022 intervention zone. Could this repeated inability spark a downside correction?