USD/JPY Holds 146.20 Support Despite Neutral Market Sentiment

USD/JPY maintains a neutral stance at 146.35, finding support at the key 146.20 level as markets await fresh directional catalysts. The US Dollar Index trades sideways near 104.40, reflecting balanced forces between hawkish Fed expectations and global growth concerns. Technical analysis reveals the pair remains within a symmetrical triangle pattern, with decreasing volatility suggesting an imminent breakout. The 200-day moving average at 146.20 continues to provide dynamic support, while resistance caps gains at 146.80. Japanese authorities remain vigilant against excessive yen weakness, though intervention risks appear limited at current levels. Momentum oscillators paint a mixed picture, with MACD showing slight bullish divergence while RSI remains neutral at 52. Traders should monitor upcoming US economic releases and any shifts in Bank of Japan communication for breakout triggers.