USD/JPY jumps above 136.00, extending recovery from two-month lows

US Dollar gains momentum across the board, DXY turns positive.
Economic data from the US shows numbers above market consensus.
USD/JPY with a bullish outlook in the very short-term.

Matías Salord FXStreet

The USD/JPY broke above 135.50 and jumped above 136.00 extending the recovery from multi-month lows. The US Dollar is rising across the board supported by better-than-expected economic data and higher Treasury bond yields.

Dollar strengthens further after US data

US economic data surpassed expectations on Monday, helping the US Dollar. The S&P Global Composite PMI was revised from the 46.3 preliminary reading to 46.4 in November. Factory Orders in October rose 1% surpassing expectations of a 0.7% increase. The ISM Service PMI in November rose from 54.4 to 56.5. The Price Paid Index fell from 70.7 to 70.

The US Dollar Index (DXY) is up 0.40% after hitting earlier on Monday at 104.11, the lowest level since June. The more positive tone around the Greenback helped the USD/JPY move further to the upside.

The pair broke above 135.50 and climbed to 136.40, reaching the highest level since Thursday. It remains near the high, with the bullish momentum intact. The next resistance area is seen around 136.60 followed by 137.00.

The 136.00 level has become the immediate support followed by 135.50/55. The recovery of the Dollar is being supported by indicators in the 4-hour chart with the RSI moving north, breaking the 30 level and Momentum turning also to the upside. According to indicators, more gains seem likely before a new leg lower.

Technical levels

USD/JPY

Overview
Today last price	136.17
Today Daily Change	1.86
Today Daily Change %	1.38
Today daily open	134.31

Trends
Daily SMA20	140.16
Daily SMA50	144.14
Daily SMA100	141.14
Daily SMA200	134.51

Levels
Previous Daily High	135.98
Previous Daily Low	133.62
Previous Weekly High	139.9
Previous Weekly Low	133.62
Previous Monthly High	148.82
Previous Monthly Low	137.5
Daily Fibonacci 38.2%	134.52
Daily Fibonacci 61.8%	135.08
Daily Pivot Point S1	133.29
Daily Pivot Point S2	132.28
Daily Pivot Point S3	130.93
Daily Pivot Point R1	135.65
Daily Pivot Point R2	137
Daily Pivot Point R3	138.01

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

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