The USD/JPY pair climbed as much as 139.99 today, registering a new high in the short term. Now, it has retreated a little and is trading at 139.53. After its amazing growth, a temporary retreat was natural. The rate could test and retest the near-term support levels before jumping higher.
Fundamentally, the Japanese Trade Balance will be released tomorrow and is expected at -0.66T versus -0.78T in the previous reporting period. On the other hand, the US is to release the Unemployment Claims, Existing Home Sales, CB Leading Index, and Philly Fed Manufacturing Index. Positive US data should lift the greenback.
USD/JPY Further Growth Seems Activated!
The USD/JPY pair jumped above the downtrend line signaling that the sell-off ended and that the buyers could take it higher again. It has jumped above the 38.2% (139.18) indicating a potential further growth.
It has retreated a little after reaching 139.99. It could come back to test and retest the 38.2% retracement level before jumping higher.
USD/JPY Forecast!
A bullish closure above 139.99 is seen as a buying signal.
