USDJPY ticks higher as market place their bet on Fed.
“Greenback back in demand as recent data spur speculation towards the Fed.”
US dollar stabilizes around six-week high as US Treasury bond yield top multi-day high following bullish US data which propel hawkish bets upon Federal Reserve. Yesterday, Core Retail Sales came in at 2.3% for last month, significantly higher than forecast of 0.8%. The data shows resilient in the consumer market even though inflation remains high in the country. This has stirred more bets upon Fed who may extend its interest rates hike to curb stubbornly high inflation.
Quick recap on USDJPY
The pair managed to extend its recovery after a rebound from strong support near 128.
USDJPY Weekly Technical Analysis
From weekly perspective, MACD shows substantially diminished bearish momentum which may suggest further upside ahead.
USDJPY Daily Technical Analysis
From daily perspective, MACD shows persistent upside momentum, with resistance level of 135 being the main focus for the market.
ORDER: BUY STOP
STOP LOSS: 133.70
Target 1: 138.20
Target 2: 140.40
ZFX Analyst’s Comment
While the pair portrayed significant upside bias, we need a strong breakout near 135 in order to attain further confirmation.
Risk Warning: The above content is for reference only, and does not represent ZFX’s position. ZFX does not assume any form of loss caused by any trading operations carried out in accordance with this article. Please be firm in your thinking and do the corresponding risk control.
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