FXStreet (Mumbai) – The buying interest in the USD/JPY spiked in early Europe, sending the pair to a session high of 119.77 levels and near 38.2% of 125.856-116.082 located at 119.81 levels.
Trades above hourly 200-MA
The spot now trades above its hourly 200-MA currently located at 119.56. The bid tone on the USD improved against the Yen, but the greenback is being offered against EUR and GBP, thereby leading to a rise in the EUR/JPY and GBP/JPY cross.
The European equities began the day on a upbeat note leading to the risk-on moves in the currencies space. Ahead in the day, the European equities and the US housing data could hog the limelight.
USD/JPY Technical Levels
At 119.68, the immediate resistance is seen at 119.81 (38.2% of 125.856-116.082), followed by a hurdle at 120.00, above which the pair could rise to 120.60 (50-DMA). On the other side, a break below 119.56 (hourly 200-MA) would open doors for a re-test of 119.16 (hourly 100-MA).
(Market News Provided by FXstreet)