USD/JPY in highs above 102.00 on upbeat US CPI

The bid tone in the greenback has pushed USD/JPY back above the 102.00 on Friday, extending the bounce off earlier lows near 101.80.

USD/JPY boosted by US data

The pair has grabbed buying interest after US inflation figures gauged by the CPI showed consumer prices have risen higher than initially forecasted during August.

In fact, headline CPI rose at an annualized 1.1% (vs. 1.0% expected and 0.8% prev.) while prices excluding Food and Energy rose 2.3% on a yearly basis (vs. 2.2% estimated). Consumer prices rose 0.2% inter-month, also surpassing expectations for a 0.1% gain and up from July’s flat reading.

Spot is now trimming earlier losses above the 102.00 handle in the wake of the releases, looking at the same time to revert two consecutive pullbacks.

USD/JPY levels to consider

As of writing the pair is advancing 0.01% at 102.06 facing the immediate resistance at 102.62 (55-day sma) followed by 103.50 (50% Fibo of the July-August down move) and finally 104.33 (high Sep.2). On the other hand, a breach of 101.18 (low Sep.7) would expose 99.53 (low Aug.16). and then 99.08 (low Jun.24).