USD/JPY Price Analysis: Bulls jostle with short-term key hurdle around 129.50
- USD/JPY stays firmer around intraday high, extends bounce off 13-day low.
- 100-SMA, monthly horizontal resistance challenge recovery moves.
- Firmer RSI line joins bullish MACD signals to keep buyers hopeful.
- Weekly resistance line, double tops around 131.25-30 challenge further upside.
USD/JPY remains on the front foot at around 129.50, keeping the previous day’s rebound from a two-week low during Monday’s Asian session. In doing so, the bulls attack a short-term key horizontal resistance area, also comprising the 100-SMA.
Given the recently firmer RSI and upbeat MACD signals, the yen pair is likely to extend the latest recovery moves beyond the immediate hurdle surrounding 129.50.
Even so, a downward sloping trend line from May 09, near 130.20, will challenge the USD/JPY buyers.
It’s worth noting that the quote’s upside past-130.20 will aim for the key hurdles surrounding 131.25-30, including double tops marked in the last three weeks, a break of which won’t hesitate to challenge the 132.00 threshold.
Meanwhile, pullback moves may aim for the early month low around 128.60 before directing the USD/JPY sellers towards the monthly bottom of 127.51.
Should the quote USD/JPY prices remain weak past 127.51, the late April swing low near 127.00 will be in focus.
USD/JPY: Four-hour chart
Trend: Further upside expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
