FxWirePro: USD/JPY pauses shy of major trendline resistance at 113.30, breakout to see further upside

• USD/JPY opens with a bullish gap in the Asian session today and the pair is extending grind higher.
   
• The pair has paused upside shy of major resistance at 113.30 (trendline and 78.6% Fib retrace of 113.638 to 112.055 fall).
   
• Mixed US jobs numbers on Friday failed to offer any respite to the USD bulls, sentiment around the greenback broadly undermined.
   
• While the December headline NFP data was softer than expected, at 148k, the average earnings were as expected at 2.5% y/y and the unemployment rate steady at 4.1%.
   
• Technical studies on intraday charts are neutral. Upside intact as long as the major holds above 20-DMA.
   
• Breakout at major resistance at 113.30 paves way for gains till 113.70 (upper BB).
   
• On the flipside, failure at 20-DMA (112.91) will negate bullish bias, raising scope for retrace till 112.39 (trendline).
   
• Focus on US CPI data due later this week for further impetus.                                     

Call update: We had advised a long in our previous call (https://www.econotimes.com/FxWirePro-USD-JPY-breaks-above-20-DMA-retakes-113-handle-good-to-go-long-on-close-above-1083076).

Recommendation: Watch out for break above 113.30 for further upside.

FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest