• USD/JPY is trading modestly higher as dollar remained bid ahead of U.S. retail sales figures that could give cues on the Federal Reserve's interest rate path this year.
•Dollar has drawn support from a run of upbeat data on the U.S. economy which has in turn caused traders to scale back their expectations of Fed rate cuts.
• U.S. retail sales figures for September and an interest rate announcement by the European Central Bank are due later in the day.
• At GMT 07:38, the pair was trading up 0.10 % at 149.76, highest since 14th Oct.
• Technical signals are strongly bullish as RSI is at 64, daily momentum studies 5, 9 and 10 DMAs are trending up.
• Immediate resistance is located at 150.14(Psychological level), any close above will push the pair towards 151.80 (Higher BB).
• Support is seen at 148.54 (38.2%fib) and break below could take the pair towards 148.00 (Psychological level)
Recommendation: Good to buy around 149.60, with stop loss of 147.80 and target price of 150.30
