- USD/JPY drop below 100.00 levels proved to be short-lived, pair reversed from lows below 100 level on hawkish Fed talk.
- NY Fed president Dudley’s warned in the NY session yesterday that markets are too complacent about rate hike risks.
- Dudley said he expected stronger growth in US in H2 than in H1 and further improvement in the labour market.
- USD/JPY is currently trading around 100.65, supports are seen at 99.54 (Aug 16 low), 98.79 (June 24 low).
- The pair finds major resistance at 101.04 (4H 20 MA), break above could find next hurdle at 101.28 and then 101.45.
- Our previous call (http://www.econotimes.com/FxWirePro-USD-JPY-knocked-off-to-fresh-5-week-low-below-10050-bias-lower-263126) has achieved TP1&2.
Recommendation: Good to go long on dips around 100.70, SL: 100.30, TP: 101.10/ 101.45/ 101.60
