USD/JPY bulls eyeing a decisive break through 113.00 hurdle
|The USD/JPY pair trended higher through early NA session and is currently placed just a few pips away from the 113.00 handle.
The pair built on its recovery move from Monday's 3-week lows, closer to the very important 200-day SMA, and remained supported by surging US Treasury bond yields.
Meanwhile, the prevalent risk-on environment also did little to lend any support to the Japanese Yen's safe-haven appeal and stall the pair's strong up-move to near two-week tops.
However, a modest US Dollar pull-back, following today's dismal US housing market data, failed to assist bulls to reclaim the 113.00 handle, with the pair retreating around 15-pips from session tops touched in the past hour.
It would now be interesting to see if bulls are able to maintain their dominant position or the current retracement turns out to be an early clue for a corrective move lower.
Technical levels to watch
On a sustained move beyond the 113.00 handle, the pair is likely to accelerate the up-move towards 113.30 supply zone before eventually darting towards the 114.00 round figure mark.
On the downside, mid-112.00s now seems to act as immediate support, which if broken could drag the pair back towards 112.15 horizontal support en-route 200-day SMA support near the 111.75 region.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.