FXStreet (Edinburgh) - The greenback seems to have resumed its upside on Friday, now lifting the USD/JPY to the very doorsteps of the critical barrier at 104.00.

USD/JPY looks to regain weekly tops

The pair is trading on a firmer footing and prolonging the bounce off the 103.70 area. The overall weaker tone from the Japanese docket in today’s early hours weighed on the yen, adding to the upside sentiment in the pair. Next of relevance will be the US inflation figures tracked by the PCE along with Private Income/Spending and the final reading of the Reuters/Michigan index for the month of August. Emmanuel Ng, FX Strategist at OCBC Bank, commented, “the JPY may continue to garner support pending geopolitical developments into the weekend. As such, the pair may continue to loiter at sub-104 levels in the interim with a fairly solid cushion expected towards 103.00”.

USD/JPY levels to consider

At the moment the pair is up 0.23% at 103.96 and a surpass of 104.16 (high Aug.27) would open the door to 104.49 (high Aug.25) and finally 104.84 (high Jan.23). On the flip side, the immediate support aligns at 103.66 (low Aug.29) followed by 103.56 (low Aug.28) and then 103.51 (Tenkan Sen).

Related Articles
  1. Forex Education

    Four Currencies Under the Spotlight in 2016

    With currencies having become the “tail that wags the dog,” in terms of their impact on the global economy, these four currencies will be under the spotlight in 2016.
  2. Forex Fundamentals

    These Currencies Are The Biggest Losers Of The Stock Downturn

    Here’s a list of the hardest-hit currencies amid the global stock market mayhem.
  3. Forex Strategies

    Will the Euro Continue to Rally? (EUO)

    The euro is rallying. Should investors chase this performance or is the real opportunity on the other side of the trade?
  4. Investing News

    China’s Forex Reserves Dropped Significantly

    China’s forex​ reserves dropped by a record $93.9 billion at the end of August to $3.56 trillion because the Central Bank has been selling dollars to provide a cushion to the falling yuan​
  5. Forex

    The Pros and Cons of a Fully Convertible Rupee

    Amid the rising economic power of India, the talks of making the Indian currency fully convertible are gaining momentum. We look at the pros and cons.
  6. Forex Fundamentals

    Chinese Yuan an Unlikely Reserve Currency

    As the world's second largest economy, China's challenge to America’s dominance includes a push to make the yuan (RMB), the world’s reserve currency. Whether it can do that now is unclear.
  7. Economics

    How Currency Enforcement Helped Sink The Trans-Pacific Partnership (TTP)

    One particular barrier to trade that has received much attention of late and caused delays in negotiations of the TPP is exchange-rate manipulation, by which a country artificially devalues its ...
  8. Forex

    Top U.S Forex News Sites

    Breaking news moves forex markets. Here are the top U.S. sites for tracking forex news.
  9. Investing

    Financial News Comparison: Bloomberg Vs. Reuters (BAC, GOOG)

    Access to financial information has grown with the expansion of digital news. Bloomberg and Thomson Reuters lead the pack, claiming a majority of the business information market.
  10. Economics

    Who Benefits From South Korea's Lowered Interest Rates?

    South Korea is the latest country to cut interest rates in an attempt to stimulate economic growth.
COMPANIES IN THIS ARTICLE
Trading Center