USD/JPY Price Analysis: Overbought RSI caps further upside around 108.00, NFP eyed

USD/JPY bulls catch a breather near eight-month high.
Multiple tops marked since mid-April challenge further upside.
Bears have multiple barriers to tackle before entry.

Anil Panchal FXStreet

USD/JPY wavers around the multi-month top, marked initially in Asia, while taking rounds to 108.00 during early Friday. In doing so, the yen pair consolidates the heaviest gains in two months amid overbought RSI conditions.

Also challenging the pair’s further upside could be an area surrounding 108.10-15 comprising multiple tops marked in April, May and July of 2020.

Considering the nearness to the key US employment data, the odds of a cautious move after a heavy run-up can’t be ruled out.

Read: Nonfarm Payrolls Preview: Dollar booster? Three expectation downers pave way for upside surprise

However, late-July tops near 107.55 and August month’s peak close to 107.00 will question the short-term USD/JPY sellers.

If at all the quote manages to stay below 107.00, February 17, 2021 top near 106.20 should return to the charts.

Alternatively, an upside break of 108.15 will eye for the 109.00 threshold and June 2020 high of 109.85 before directing USD/JPY bulls to the 110.00 round-figure.

USD/JPY daily chart

Trend: Pullback expected

Additional important levels

Overview
Today last price	107.93
Today Daily Change	0.04
Today Daily Change %	0.04%
Today daily open	107.89

Trends
Daily SMA20	105.76
Daily SMA50	104.63
Daily SMA100	104.47
Daily SMA200	105.44

Levels
Previous Daily High	107.95
Previous Daily Low	106.96
Previous Weekly High	106.69
Previous Weekly Low	104.92
Previous Monthly High	106.69
Previous Monthly Low	104.41
Daily Fibonacci 38.2%	107.57
Daily Fibonacci 61.8%	107.34
Daily Pivot Point S1	107.25
Daily Pivot Point S2	106.62
Daily Pivot Point S3	106.27
Daily Pivot Point R1	108.24
Daily Pivot Point R2	108.59
Daily Pivot Point R3	109.22

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.

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