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USD/JPY Slides Near Seven-Month Low Ahead of US Inflation Figures

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The USD/JPY pair continues to trade near its seven-month low as traders await US inflation figures. Despite minor price fluctuations, the technical setup suggests a bearish bias for the currency pair.

The recent breakdown below the 155.30-155.20 support level was seen as a key trigger for bearish traders, with the area coinciding with the 38.2% Fibonacci retracement level of the April 2025-July 2026 rally.

A more hawkish Bank of Japan repricing is expected to continue acting as a tailwind for the Japanese Yen and cap spot prices.

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