The pair holds within tight range on Monday but maintains bullish bias, following Friday’s close above 200SMA and bullish weekly close.
Bulls face headwinds at strong 112 resistance zone (Friday’s high at 111.90 / 2019 high at 112.13, posted on 5 Mar and Fibo 76.4% at 112.20), but daily techs remain in bullish setup and immediate focus would remain shifted higher while 200SMA (111.42) holds.
The greenback remains firm against yen despite the biggest weekly fall in few months, registered last week and awaiting the outcome from Fed’s meeting on Wednesday for clearer signals.
Failure to hold gains above 200SMA and close below, would sour the sentiment, but extension through supports at 111.25 (20SMA) and 110.93 (30SMA) is needed to confirm negative scenario and open way for deeper fall.
Conversely, sustained break above 112.20 would signal continuation of recovery from 104.59 (2019 low).
Res: 111.63, 111.90, 112.20, 112.60
Sup: 111.42, 111.25, 110.93, 110.78
