The US dollar has started to move higher against the Japanese yen currency in early week trading, as rising global stock prices boost risk-on trading sentiment. The USDJPY pair is currently trading around the 109.50 level, with the risk-sensitive pair starting to diverge away from the recent theme of broad-based US dollar weakness. Moving into the US trading session, USDJPY traders will be watching the key 110.00 resistance level and US stock market movements.
The USDJPY pair is intraday bullish while trading above the key 109.39 level, key technical resistance is now located at the 109.72 and 110.00 levels.
If the USDJPY pair starts to trade below the 109.39 level, traders may test towards the 109.20 and 109.00 support levels.
