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28 May 2015
USD/JPY attempts a bounce to 124.30
FXStreet (Mumbai) - The US dollar regained lost momentum and extends beyond 124 handle, bouncing-off sharply from session lows of 123.60. The USD/JPY pair picked up pace in another run towards fresh twelve year highs reached in Asia as fresh sellers ran through the yen amid BOJ comments ahead of crucial Japanese CPI data due to be released tomorrow.
USD/JPY rises from 123.60
Currently, the USD/JPY pair trades 0.38% higher at 124.10, heading towards fresh 12-year highs reached at 124.30 in mid-Asia. The USD/JPY pair accelerates gains largely on heavily yen selling after the BoJ pushed back its timeline for reaching its inflation target to fiscal 2016. Minutes from last month’s meeting showed that some members expressed concern that consumer price inflation wouldn't reach the target in fiscal 2017.
Moreover, yen was also pressured after some institutional banks have been calling for ¥125.00 as the next big target on the USD/JPY pair.
Technically, the major has given a descending triangle bullish breakout on the weekly charts with the next targets placed around 125.10-125.60 levels.
Meanwhile, markets now turn their focus towards US weekly jobless claims and pending home sales data for further USD moves while Japanese CPI data due tomorrow will be also closely eyed.
USD/JPY Technical Levels
To the upside, the next resistance is located at 124.30 (Today’s High) levels and above which it could extend gains 125 levels. To the downside immediate support might be located at 123.50 (Today’s Low) below that at 123 levels.
USD/JPY rises from 123.60
Currently, the USD/JPY pair trades 0.38% higher at 124.10, heading towards fresh 12-year highs reached at 124.30 in mid-Asia. The USD/JPY pair accelerates gains largely on heavily yen selling after the BoJ pushed back its timeline for reaching its inflation target to fiscal 2016. Minutes from last month’s meeting showed that some members expressed concern that consumer price inflation wouldn't reach the target in fiscal 2017.
Moreover, yen was also pressured after some institutional banks have been calling for ¥125.00 as the next big target on the USD/JPY pair.
Technically, the major has given a descending triangle bullish breakout on the weekly charts with the next targets placed around 125.10-125.60 levels.
Meanwhile, markets now turn their focus towards US weekly jobless claims and pending home sales data for further USD moves while Japanese CPI data due tomorrow will be also closely eyed.
USD/JPY Technical Levels
To the upside, the next resistance is located at 124.30 (Today’s High) levels and above which it could extend gains 125 levels. To the downside immediate support might be located at 123.50 (Today’s Low) below that at 123 levels.