9 Mar 2015
USD/JPY wavers around 121
FXStreet (Mumbai) - USD/JPY inched closer to the highest levels since December 2007 at 121.86 in the early European morning, as the USD bulls continue to dominate across the board following upbeat Friday’s non-farm payrolls data.
USD/JPY eyes 121.86 levels
Currently, the USD/JPY trades higher by 0.12% at 120.98 levels, having previously posted fresh highs at 121.13 levels. USD/JPY continued to strengthen as the yen remained weak post Japan’s Q4 GDP data, which showed the Japanese economy grew at a softer rate than expected. Moreover, revival of risk-on trades after encouraging US data painted a brighter picture of the US economy also continues to weigh on the yen, pushing USD/JPY higher.
USD/JPY remains underpinned amid a stronger US dollar after the US labour market strength increased bets for sooner than anticipated Fed rate-hike.
Meanwhile, USD/JPY is expected to remain buoyed and may reach fresh eight year highs beyond 121.86 so long as it holds above support at 5-DMA placed at 120.46 levels.
USD/JPY Technical Levels
To the upside, the next resistance is located at 121.29 (March 6 High) levels and above which it could extend gains 121.86 (Dec 2014 High) levels. To the downside immediate support might be located at 120.46 (5-DMA) levels, below that at 120.10 (10-DMA) levels.
USD/JPY eyes 121.86 levels
Currently, the USD/JPY trades higher by 0.12% at 120.98 levels, having previously posted fresh highs at 121.13 levels. USD/JPY continued to strengthen as the yen remained weak post Japan’s Q4 GDP data, which showed the Japanese economy grew at a softer rate than expected. Moreover, revival of risk-on trades after encouraging US data painted a brighter picture of the US economy also continues to weigh on the yen, pushing USD/JPY higher.
USD/JPY remains underpinned amid a stronger US dollar after the US labour market strength increased bets for sooner than anticipated Fed rate-hike.
Meanwhile, USD/JPY is expected to remain buoyed and may reach fresh eight year highs beyond 121.86 so long as it holds above support at 5-DMA placed at 120.46 levels.
USD/JPY Technical Levels
To the upside, the next resistance is located at 121.29 (March 6 High) levels and above which it could extend gains 121.86 (Dec 2014 High) levels. To the downside immediate support might be located at 120.46 (5-DMA) levels, below that at 120.10 (10-DMA) levels.