Persistent Downtrend in the Yen Index
The Japanese Yen Index continues to trend downward on both the daily and 4H timeframes. Prices reversed from the WFVG zone and are currently trading around 713.9. A continuation of the bearish momentum is expected throughout the day.

Investors Eye Bank of Japan’s Policy Signals
This week, markets are closely watching the Bank of Japan, which is expected to hold interest rates steady while potentially raising its inflation forecast. A new trade agreement with the U.S. involving tariff cuts on cars triggered volatility, pushing USD/JPY down from 148 to the mid-147 range. Japan’s finance minister stated the deal does not include currency terms but confirmed continued discussions, suggesting possible government intervention if volatility spikes.

 Liquidity Levels and Bearish Targets
The yen index is expected to continue falling toward 727 and possibly 725. The bearish scenario would be invalidated if the index climbs back above 743.