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4 Jun 2014
USD/JPY prints new highs ahead of Tokyo
FXStreet (Bali) - USD/JPY has retained the bullish tone in the transition from NY into Tokyo, with the rate recording a new high of 102.59 after using the 102.50 as a technical base intraday.
The bounce extension in US yields coupled with buying interest above the 15,000 in the Nikkei 225, is keeping the Yen under pressure, with the next technical resistance at 102.70 ahead of 103.00 being now approached.
Valeria Bednarik, Chief Analyst at FXStreet, notes: "The hourly chart shows 100 and 200 SMAs converge in the 101.90 price zone, offering support in case of retracement, as indicators head higher in positive territory, losing some of the upward strength. In the 4 hours chart technical readings are a bit stronger albeit also in overbought territory."
"The pair is closing a few pips above its 100 DMA first time in nearly 2 months, which can be a first sign of upcoming gains; nevertheless, some further confirmation with price stabilizing above 103.00 is required to confirm a more bullish outcome for the days to come", Bednarik adds.
The bounce extension in US yields coupled with buying interest above the 15,000 in the Nikkei 225, is keeping the Yen under pressure, with the next technical resistance at 102.70 ahead of 103.00 being now approached.
Valeria Bednarik, Chief Analyst at FXStreet, notes: "The hourly chart shows 100 and 200 SMAs converge in the 101.90 price zone, offering support in case of retracement, as indicators head higher in positive territory, losing some of the upward strength. In the 4 hours chart technical readings are a bit stronger albeit also in overbought territory."
"The pair is closing a few pips above its 100 DMA first time in nearly 2 months, which can be a first sign of upcoming gains; nevertheless, some further confirmation with price stabilizing above 103.00 is required to confirm a more bullish outcome for the days to come", Bednarik adds.