FXStreet (Edinburgh) – The Japanese yen has surrendered its daily gains vs. the dollar on Tuesday, lifting USD/JPY back to the boundaries of 120.00 the figure.
USD/JPY propped up by risk trends
The better sentiment around the risk appetite plus a recovery of US Treasuries have allowed the pair to bounce off session troughs in the vicinity of 119.20 early in the European morning.
However, results below expectations from US trade balance figures and the S&P/Case-Shiller index have removed some of the tailwinds benefiting the pair, which still remains unable to sustain a break above the 120.00 handle.
USD/JPY levels to watch
As of writing the pair is losing 0.02% at 119.88 and a break below 119.24 (low Sep.29) would aim for 118.87 (low Sep.8) and then 118.58 (low Sep.4). On the flip side, the next hurdle aligns at 120.72 (high Sep.16) ahead of 120.99 (high Sep.17) and finally 121.335 (high Sep.10).
(Market News Provided by FXstreet)