FXStreet (Edinburgh) - The Japanese yen is now gathering steam vs. the greenback, dragging the USD/JPY back below the 102.00 mark.



USD/JPY extends the consolidation



The pair is looking to consolidate the leg down from recent multi-week highs near 102.80 (early June), against a backdrop of historically low levels of volatility. According to Shaun Osborne, Chief FX Strategist at TD Securities, “with the sideways trading range quite well-defined here between 100.80 support and 102.80 resistance and short-term trend lines reinforced by the cloud chart resistance in the low 102.00 area on the one hand and 200-day MA in the upper 101 area on the other, a clean break out appears unlikely at this point”.



USD/JPY levels to consider



At the moment the pair is losing 0.04% at 101.84 with the immediate support at 101.74 (low Jun.19) followed by 101.67 (200-d MA) and then 101.60 (low Jun.12). On the upside, a break above 102.14 (high Jun.23) would expose 102.20 (high Jun.20) and finally 102.39 (high Jun.11).



Investopedia makes you smarter.
Sign up for the News to Use newsletter for the latest in expert analysis, market insights and news.