The US dollar has staged a strong recovery against the Japanese yen, following a brief early-morning move towards breakout technical support, at 108.40. Dip-buyers appear to be back in control, with the 109.00 level the next major intraday resistance area to watch. Traders may also be cautious ahead of the Bank of Japan policy decision, which could lead to a spike in USDJPY volatility.
The USDJPY pair is only bearish while trading below the 108.40 level, key support below remains at the 108.20 and 108.00 levels.
The USDJPY pair is bullish while trading above the 108.40 level, key technical resistance remains at the 109.00 and 110.00 levels.
