USDJPY marked the first weekly gain in five while luring bulls to cross the 100-bar Exponential Moving Average (EMA). The upward trajectory could also be witnessed by a one-week-long ascending trend channel, as well as a successful break of a downward-sloping trend line from early March. The RSI retreat, however, challenges the Yen pair buyers of late. That said, the 100-EMA and the stated channel’s lower line, respectively around 132.60 and 132.10, restrict the quote’s short-term downside. It should be noted that a three-week-long previous resistance line, around 131.00 by the press time, appears the last defense of the bulls.
On the other hand, the stated channel’s top line, close to 133.90, caps the immediate upside of the USDJPY pair. Following that, the mid-March high of 135.10 and the late February swing low surrounding 135.25-30 can check the pair buyers. In a case where the Yen pair buyers hold the reins past 135.30, the odds of witnessing a fresh Year-To-Date (YTD) high, currently around 137.90, can’t be ruled out.
Overall, USDJPY is back on the buyer’s radar after a four-week absence. The bulls, however, have a bumpy road towards the north.
