However, as USD/JPY has been rejected several times on approaches to 100.00, market hopes of further advances were limited, helping the panic dollar buying across the board. Currently, the pair is trading at 100.60 and closing Thursday with 1.55% daily gains. According to the FXstreet.com trend index, the USD/JPY is slightly bullish in the 1-hour chart. Indicators such as MACD, CCI and Momentum are pointing to the north while the Stochastic is bearish.
As for US stocks, American indexes remain near their all-time highs with DJIA and S&P hitting a fresh all-time highs Thursday before closing a bit lower, while the Nasdaq touched its highest levels since November 2000 before shedding 0.1%. Step back come after rumors’ Fed will start tapering bond-buying, although finally nothing was confirmed. Anyway, indexes are up over 12% since the start of the year, another strong support for USD/JPY gains.
With the USD/JPY leaving behind the 100.00 mark, the first Abe milestone, and the pair reaching fresh 4-year highs at 100.77, FXstreet.com chief strategist Valeria Bednarik states that the pair, “trades above 100.70, establishing a fresh high since May 2009, and with no aims of retreating any. Market players are now eying 101.44, April 2009 monthly high, and dips towards 99.70/100.00 if any, will be seen as strong buying opportunities."
"Although be aware, pullbacks are highly unlikely in yen crosses," Bednarik points. While when looking at EUR/JPY she adds: “former high around 130.40 is the level to watch as dips towards that area should see late buyers jumping into the bullish party. In bigger time frames, the upside is still favored with 133.60 now at sight."
Speaking about the EUR/JPY, Forex.com's analyst Chris Tevere comments that the pair broke a triangle pattern fueled by the USD/JPY uptrend movement. "The triangle pattern is now confirmed, which projects a measured move objective of ~600 pips."