The dollar rose after solid US services data. The Bank of Japan (BOJ) may ditch its 10-year bond yield cap as soon as next year. The BoJ will likely continue its ultra-loose monetary policy for the time being. Today’s USD/JPY outlook is bullish. Tuesday saw the US dollar maintain its strength against key rivals after experiencing its greatest rise to two-week highs. The rise was brought on by speculation that the Fed might raise interest rates more than anticipated in response to solid US services data. –Are you interested in learning more about buying NFT tokens? Check our detailed guide- According to Takeo Hoshi, a scholar with strong ties to the current central bank officials, the Bank of Japan (BOJ) may ditch its 10-year bond yield cap as soon as next year due to increased chances that inflation and wages will exceed forecasts. According to Hoshi, the BOJ must continue its ultra-loose monetary policy for the time being to reassure the public that it is serious about reflating the economy for a long enough period to produce sustained inflation. He told Reuters on Monday that the possibility of inflation exceeding expectations must also be considered as part-time and permanent workers’ earnings rise due to the labor crisis. Core consumer inflation could exceed the BOJ’s 2% objective next fiscal year, leaving room for the central bank to ditch its 0% target for the yield on 10-year bonds. Inflation expectations are already “sufficiently” high, according to Hoshi. USD/JPY key events today Investors will pay attention to a speech from Bank of Japan board member Toyoaki Nakamura. This speech might contain clues on the future of monetary policy. Get FREE Forex Signals Now! USD/JPY technical outlook: Sentiment shift from bearish to bullish Looking at the 4-hour chart, we see the price above the 30-SMA and the RSI above 50, showing bulls have more strength. Bulls took over after bears failed to break below the 134.03 support level. They pushed the price above the 136.05 resistance and have just broken above the 30-SMA. –Are you interested in learning more about British Trade Platform Review? Check our detailed guide- If the bulls stay above the SMA, the next targets will be 138.03 and 140.01. It will also confirm a shift in sentiment, which could lead to a new bullish trend. A new bullish trend would be confirmed when the price starts making higher highs and higher lows. However, if the price goes back below the SMA, the price will push lower and retest the 134.03 support. Looking to trade forex now? Invest at eToro! Trade Forex Now! 67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Saqib Iqbal Saqib Iqbal Saqib Iqbal is a market analyst, prop fund trader and mentor, serving the industry with his analysis and educational content since 2011. The author has great exposure to different financial markets and institutions. He's well-known for his day trading reviews and multiple timeframe analysis. View All Post By Saqib Iqbal Majors share Read Next AUD/USD Price Analysis: AUD Bulls Welcome RBA’s 25bps Hike Saqib Iqbal 2 months The dollar rose after solid US services data. The Bank of Japan (BOJ) may ditch its 10-year bond yield cap as soon as next year. The BoJ will likely continue its ultra-loose monetary policy for the time being. Today's USD/JPY outlook is bullish. Tuesday saw the US dollar maintain its strength against key rivals after experiencing its greatest rise to two-week highs. The rise was brought on by speculation that the Fed might raise interest rates more than anticipated in response to solid US services data. -Are you interested in learning more about buying NFT tokens? Check our detailed guide-… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.