The Japanese yen bounces back after a rise in April’s retail trade figure, while the US dollar struggles to consolidate its gains above the psychological level of 111.00.
Yesterday’s bullish momentum above 110.85 has faded. This suggests a lack of commitment from the buy-side. Short-term price action could become vulnerable if 110.40 fails to hold. The pair may retest 109.80 should that happen.
Otherwise, by lifting offers around 111.10 the bulls could expect a runaway rally towards February 2020’s peak at 112.00.
