Refer USD/JPY chart on Trading View
- USD/JPY holds above 21-EMA, intraday bias bullish.
- Price action is holding above 111 handle, breakout above daily cloud could see further upside.
- Momentum studies are bullish, RSI is above 50 levels and bias higher.
- Price is consolidating above 61.8% Fib and break above daily cloud will see test of 78.6% Fib at 112.57.
- US President Trump's deal with Mexico has put a bid under the risk assets on Monday.
- Focus now on US trade balance and consumer confidence number, scheduled for release today, which could influence the greenback.
Support levels - 110.99 (21-EMA), 110.87 (61.8% Fib), 110.64 (cloud base)
Resistance levels - 111.35 (4H 200-SMA), 111.61 (cloud top), 112, 112.57 (78.6% Fib)
Recommendation: Good to go long on breakout above daily cloud, target 112/ 112.55
FxWirePro Currency Strength Index: FxWirePro's Hourly USD Spot Index was at -73.0196 (Neutral), while Hourly JPY Spot Index was at -63.0639 (Neutral) at 0445 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
