FxWirePro: USD/JPY holds cloud support, break above 110-EMA (110.96) could see further upside

USD/JPY chart - Trading View 

• USD/JPY has bounced off daily cloud support and is probing 110-EMA resistance at 110.96.
   
• The pair is trading at 110.70, up 0.08% at 0400 GMT. Break above 110-EMA will see further gains.
   
• JPY is being offered despite Finance Minister Aso ruling out extra economic measures, possibly due risk reset in the markets.
   
• Data released earlier today showed Japan's labor market tightened in February with the jobless rate falling to 2.3 percent.
   
• Japan March core CPI rose just 0.7 percent year-on-year, confirmed market fears that the BoJ is unlikely to achieve its inflation target anytime soon.
   
• Technical studies on the daily charts have turned slightly bullish. 5-DMA, RSI and Stochs have turned.
   
• Breakout above 110-EMA will see test of 200-DMA currently at 111.44. Weakness only below daily cloud.

Support levels - 110.48 (5-DMA), 110.12 (cloud top)

Resistance levels - 110.96 (110-EMA), 111.44 (200-DMA)

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.