FxWirePro: USD/JPY upside fizzles out at 139 handle, bias remains bullish

Chart - Courtesy Trading View 

Spot Analysis:

USD/JPY was trading largely unchanged at 138.72 at around 16:50 GMT

Previous Week's High/ Low: 137.70/ 135.80

Previous Session's High/ Low: 139.00/ 137.55

Fundamental Overview:

The data published by the Conference Board showed that the Consumer Confidence Index improved to 103.2 in August from 95.3 in the previous month.

Further details showed the Consumer Present Situation Index climbed to 145.4 from 139.7 and the Consumer Expectation Index rose to 75.1 from 65.6.

Data published by the US Federal Housing Finance Agency showed on Tuesday that Housing Price Index rose by 0.1% on a monthly basis in June, missing market expectation of 1.1%.

Further, the S&P/Case-Shiller Home Price Index arrived at 18.6% on a yearly basis in June, compared to analysts' estimate of 19.5%.

Focus now on the release of the ISM Manufacturing PMI data, due Thursday which is expected to land at 52, lower than the prior release of 52.8.

Technical Analysis:

- GMMA indicator shows major and minor trend are strongly bullish

- Price action is above major moving averages which are biased higher

- Momentum is bullish, Stochs and RSI are biased higher, MACD and ADX support upside

- The pair has bounced off daily cloud support, weakness only on break below

Major Support and Resistance Levels:

Support - 137.69 (5-DMA), 135.85 (50-DMA)

Resistance - 139.18 (Upper BB), 139.38 (July 2022 high)

Summary: USD/JPY trades with a bullish bias. The major is on track to refresh yearly highs above 139.38.