USD/JPY Tests 150 Resistance: October Breakout Could Spark Rally

USD/JPY continues to consolidate just below the psychologically important 150.00 level, trading at 149.85 with minimal movement of 0.1% in early Asian session. The pair has been range-bound between 149.50-150.00 for the past week, building pressure for a potential breakout. Technical indicators suggest growing bullish momentum, with the RSI trending higher and the 50-day moving average providing solid support at 149.20. A decisive break above 150.00 could open the path toward 151.50, the July high, while failure to breach this resistance may trigger a pullback to 148.50. The Bank of Japan's continued dovish stance contrasts sharply with the Federal Reserve's higher-for-longer narrative, supporting the pair's upward bias. Traders are closely monitoring upcoming US employment data and Japanese inflation figures, which could provide the catalyst for October's directional move. The consolidation pattern suggests a breakout is imminent, with bulls maintaining control above key support levels.