USD/JPY retreats from 148.57 high, eyes gap closure at session start

USD/JPY has reversed course from an intraday high of 148.57, declining approximately 0.2% as traders move to close the opening gap from the Asian session start. The pair's initial strength appeared to be driven by typical Monday positioning flows and residual dollar strength from the previous week. However, the momentum failed to sustain above the 148.50 resistance zone, prompting profit-taking and technical selling. The reversal suggests traders remain cautious about pushing the pair higher without fresh fundamental catalysts, particularly given the Bank of Japan's increasingly hawkish stance and intervention risks above the 150.00 level. Technical indicators point to immediate support at the gap fill area around 148.20, with stronger support at 147.80 (Friday's close). A failure to maintain above 148.00 could signal further downside toward 147.50, while any recovery above 148.60 would reinstate bullish momentum targeting 149.00.