On Thursday, the US Dollar surprised to the upside, having successfully outperformed the Japanese Yen. As a result, the given pair was able to reach the 111.00 handle, but even then refused to stop appreciating. The current target is the monthly pivot point, located at 111.79; this area could provide strong resistance and limit the further gains. This pivot point is also the only solid obstacle on the USD/JPY pair’s path, which is preventing the Buck from reaching its main target— the seven-month down-trend. On the other hand, the Greenback could struggle to post further gains, as some indicators suggest the rally ran out of steam, such as the RSI, which reached its 70 reading today.
