The US dollar has soared to a new six-month trading high against the Japanese yen currency, as FED Chair Jerome Powell’s bullish comments on the US economy and future rate hikes lifted the greenback. The move higher in the USDJPY pair has scope to run higher if buyers can keep the price above the 112.80 level, which is former key resistance now turned support. USDJPY buyers will target further upside towards the 113.40 level, while sellers will look to break the 112.80 level.
The USDJPY pair is strongly bullish while trading above the 112.80 level, upside targets are found at the 113.40 and 113.88 levels.
If the USDJPY pair moves below the 112.80 level, sellers may test towards the 112.55 and 112.20 support levels.