FxWirePro: USD/JPY holds cloud support, edges above 5-DMA as Yen recedes following mixed Japanese trade data

• Yen recedes in early Asian trading following mixed Japanese trade data.
   
• Japan trade data expanded the merchandise trade balance, but both exports and imports failed to meet expectations.
   
• Japanese exports rose 2.1 percent in March, while, imports fell 0.6 percent. The forecasts for exports were 4.7 percent and imports were 5.4 percent increase.
   
• USD/JPY edges higher from session lows at 106.98 and is trading 0.32% higher on the day.
   
• The major has held support at cloud base at 106.89 and we see weakness only on break below.
   
• Technical studies are biased higher. RSI is above 50 and biased higher with +ve DMI dominance.
   
• Further, bullish divergence raises scope for further upside. Break above 55-EMA will see resumption of gains.

Support levels - 107, 106.89 (cloud base), 106.80 (21-EMA)

Resistance levels - 107.37 (55-EMA), 107.78 (Apr 13 high), 108

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