11 Jun 2015
USD/JPY rises to 123.50 as treasury yields tick higher
FXStreet (Mumbai) - The USD/JPY pairs extended gains to trade around 123.50 levels on the back an uptick in the US treasury yields.
Trades around hourly 50-MA
At the moment, the pair is trading just above its hourly 50-MA located at 123.51. The bid tone on the USD strengthened in the European session as the 10-year US Treasury yield strengthened to a high of 2.497%. The initial impetus came from the fact that most investment banks maintained their bullish bias on USD/JPY as Kuroda’s comments are not expected have a long lasting effect.
The bid tone on the USD may strengthen further as we head towards the release of the US advance retail sales, which are seen rising 1.1% in May.
USD/JPY Technical Levels
The immediate resistance is seen at 123.84, above which gains could be extended to 124.60. On the flip side, a break below 123.00 could see the pair re-test 122.44 levels.
Trades around hourly 50-MA
At the moment, the pair is trading just above its hourly 50-MA located at 123.51. The bid tone on the USD strengthened in the European session as the 10-year US Treasury yield strengthened to a high of 2.497%. The initial impetus came from the fact that most investment banks maintained their bullish bias on USD/JPY as Kuroda’s comments are not expected have a long lasting effect.
The bid tone on the USD may strengthen further as we head towards the release of the US advance retail sales, which are seen rising 1.1% in May.
USD/JPY Technical Levels
The immediate resistance is seen at 123.84, above which gains could be extended to 124.60. On the flip side, a break below 123.00 could see the pair re-test 122.44 levels.