USD/JPY advances further, eyes 110.00

The yen weakened further across the board during the American session as stocks in Wall Street turned positive while the US dollar climbed in the market particularly against European currencies.

USD/JPY broke above 109.50 and then it rose on top of last week highs located at 109.72 and reached at 109.87, the highest level in two weeks. The pair is about to post the third daily gain in a row as it continues to recover from 107.75.

USD/JPY technical outlook

“Currently pressuring the neckline of the triple floor set in the 107.60/80 region, the pair is poised to accelerate its advance, particularly if the price manages to extend beyond the critical psychological figure of 110.00”, said Valeria Bednarik, Chief Analyst at FXStreet.

According to her the 4-hours chart, shows that the pair stalled its advance around a strongly bearish 100-SMA, “but the technical indicators also keep heading higher, despite being in overbought levels.”