USD/JPY Finds Support at 108.80, Revisits Daily Highs
The retreat in the USD/JPY pair
met fresh offers near 108.80 region, and the major swung back the
familiar range above 109 levels amid rallying European stocks.
USD/JPY supported well above hourly 200-SMA at 108.70
The
Japanese currency continues to extend weakness against the American
dollar in the European session, as the underlying sentiment remains
favourable towards risk assets such as the equities and thus, weighs
down on the safe-haven yen. At the time of writing, USD/JPY trades at
109.14, trying another attempt to take out daily highs at 109.22, up
0.29% on the day. Meanwhile, the German DAX jumps +1.65%, the UK’s FTSE
rises +0.50% and the pan-European benchmark, the Euro Stoxx advances
+1.28%.
More so, a renewed bout of buying interest seen in the
oil prices in Europe also helps lift overall market sentiment and
provide further boost to the USD/JPY pair. In the day ahead, the major
will get influenced by a set of US housing data, while the broader
market sentiment will also play a major role.
USD/JPY Technical levels to watch
In
terms of technicals, the immediate resistance is located at 109.22/55
(daily high & R1). A break above the last, the major could test
109.77/110.04 (Apr 15 high/ 20-DMA). While to the downside, the
immediate support is seen at 108.70/65 (1h 200-SMA/ 10-DMA) and below
that at 108.57/50 (Apr 15 low/ psychological levels).
