- China's CPI rose 2.0% year-on-year in August, the fastest pace in a year, beating market forecasts for a 1.9% rise
- Upbeat data restored confidence among markets that Chinese government's efforts to boost the economy are finally paying-off, cooling risk-aversion
- Easing risk-off moods now lifting USD/JPY to fresh session highs near 120.50 levels after the pair fell to as low as 119.98 in early trades
- Later today, the major will likely be influenced by U.S. weekly jobless claims, focus shall also be on European and US equities for further momentum
- USD/JPY is currently trading at 120.39, with next resistance at 120.67 (Tenkan Sen) and support at 120.23 (Daily High Sep 8)
Resistance Levels:
R1: 120.67 (Tenkan Sen)
R2: 121.74 (Daily High Aug 31)
R3: 121.76 (Daily High Aug 28)
Support Levels:
S1: 120.23 (Daily High Sep 8)
S2: 120.21 (38.2% of 118.60-121.20)
S3: 120.13 (200-HMA)
