The USD/JPY pair edged higher and now is trading at 133.69 at the time of writing. It's trading at 133.68 at the time of writing far above 132.16 today's low. After such an impressive rally, we cannot exclude a temporary retreat.
Surprisingly or not, the currency pair rallied even if the US retail sales data came in worse than expected. Still, the USD received a helping hand from the Prelim UoM Consumer Sentiment, Industrial Production, and from Capacity Utilization Rate figures.
USD/JPY Amazing Rally!
Technically, the USD/JPY pair found strong demand above the weekly pivot point of 132.17 and now it has turned to the upside again. The false breakdown with great separation below the lower median line (ml) signaled strong upside pressure.
Now, it has reached the weekly R1 of 133.71 and it could hit the median line (ml) soon. It remains to see how it will react around the median line as we have a supply zone around the 134.00 psychological level.
USD/JPY Forecast!
A valid breakout above the median line (ml) and through the 134.04 former high activates a larger growth and is seen as a long opportunity.
