FxWirePro: USD/JPY edges lower from 2-month highs, finds stiff resistance at 108.98, bias bullish

USD/JPY chart - Trading View 

USD/JPY edges lower from 2-month highs at 108.89 hit in early Asian session.

Dampened Fed rate cuts odds on the back of upbeat NFP data keeps the dollar supported.

The pair has formed a doji on the daily candle till now. Bias remains bearish.

Focus on U.S. CPI data this week for further impetus. Attention now on Fed’s Chief Powell speech later in the day. 

Powell is likely to reiterate the view that the Fed stands ready to sustain the current economic expansion. 

Technical bias remains bullish. The major finds major resistance at 108.98 (nearly converged 50-DMA and 55-EMA).

Breakout above 109 handle to see further upside. Next major resistance lies at 110-EMA at 109.72 ahead of 61.8% Fib at 110.13.

Call update: Our previous call (https://www.econotimes.com/FxWirePro-USD-JPY-consolidates-above-21-EMA-uptick-in-UST-yields-supports-dollar-1557750) has almost hit TP2.

Recommendation: Book partial profit at highs. Trail stop loss to 108.30. Hold for further upside.

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