The Japanese yen eased back as the currency fell 0.59% on Tuesday. The reversal came as the USD regained the bullish momentum despite a mixed economic outlook. Housing starts grew 1.16M on the month coming out less than expected while the conference board’s consumer confidence surprisingly fell to 124.1 from 131.4 previously.
USDJPY Bullish at Support, Can the USD Maintain Gains?
The currency pair posted a strong bullish candlestick just after prices touched down to the support level at 109.84. The strong close indicates prices are likely to drift higher in the near term. Watch the resistance level at 111.40 in the near term which could be tested, following the break of the trend line.
