USD/JPY bulls commitment tested in 118 handle

FXStreet (Guatemala) – USD/JPY is steady in Tokyo in the open while the pair has managed to recover from the lows scored in the Yens advance across the board.

The pair remains in negative territory in a short term sense and continues to trade below the 118.85 mark. 118.00 is a key supporting area that if tested and broken with closes, the 115.50 area and previous targeted lows will be revealed again. However, advances back onto the 119 handle and we are back on course for higher grounds and critical bullish territory.

Karen Jones, chief analyst at Commerzbank explained that through 118.85 another attempt at the 121.86 recent high could be back into play.” Directly above here lies the 122.58/123.40 major resistance, this is the location of the 14 year downtrend and the long term Fibonacci retracement”.