The USDJPY is stretching to new highs and in the process is moving above the high from last week at 159.337. The price just ticket to 159.35. Can the momentum higher continue.
Earlier today, the pair moved back above its 100 hour MA at 159.008, and that shift helped tilt the bias back to the upside. Sellers had their shot below that MA at the start of the week, but the momentum could not be sustained. The inability to extend below the 200 hour MA at 158.875 kept the buyers in play and the break above the 100 hour MA gave them full control technically again.
With the price now trading above last week’s high, traders are targeting the next key swing area between 159.70 and 159.96. That area was a ceiling for most of April and should attract sellers on the first test. If the buyers can push through that zone, the market opens the door for a run toward the 160.44 level and then 160.717 high from Aprill.
The risk for buyers now comes from momentum fading above 159.337 and then the 100 hour MA at 159.008. Move back below those levels and the breakout starts to lose momentum. Stay above, and the buyers remain in control with the next upside targets in focus.
