USD/JPY: technical update
USD/JPY has managed to stay above 96.00 on the daily closing basis. Today US dollar rose above 97.00 emerging from the range where it stayed since last Wednesday.
The closest resistance lies at 97.60/65. Then there’s 97.88, 98.00, 98.60, 99.00. Support is at 97.00, 96.75 and 96.20 ahead of 95.60.
There’s a significant event risk today. Watch US retail sales at 12:30 GMT. Strong data might make USD/JPY test the resistance levels mentioned above. Traders are not pretty optimistic, so disappointment will lead to a sell-off. A daily close above 98.00 will clear up the situation a bit and increase the chances of the bulls.
Chart. Daily USD/JPY