USD/JPY Rally Faces Crucial Test as Momentum Shifts in Favor of Bulls

The Japanese Yen (USD/JPY) has staged an impressive recovery after hitting its September low, rising nearly 4% in the process.

According to FOREX.com, the momentum has shifted firmly in favor of the bulls, with the weekly Relative Strength Index (RSI) attempting to reclaim neutral territory for the first time since early August.

The rally is now approaching a major technical confluence that could determine whether the post-intervention decline remains intact.