USD/JPY bounces in an attempt to 119.50

FXStreet (Mumbai) - USD/JPY swings between gains and losses in the European morning, recovering most losses from the previous session, while the US dollar continues to extend on the downside.

USD/JPY rises from 119.16 levels

Currently, the USD/JPY traded flat at 119.36 levels, after a failed attempt to reach 119.50 levels. The yen gave back gains against the US dollar as the USD bulls make another run to keep the pair at elevated levels in sync with rising yields on the 10—year US treasuries which sustains above 2%, gaining almost 1% on the day. However, the USD bulls continue to fail every time as the US dollar remains weak across the board, ignoring higher yields.

Moreover, traders moved past upbeat Japanese industrial production data and now await a host of crucial US economic events including US GDP numbers to set a clear tone for the pair.

USD/JPY Technical Levels

To the upside, the next resistance is located at 119.50 levels and above which it could extend gains 119.84 levels. To the downside immediate support might be located at 119 levels, below that at 118.52 (50-DMA) levels.

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