Looking at the USD/JPY chart, we can see the impressive rally since the start of this month, and the extension of the short-term trend carried forward this past week also. After climbing from the 118 range, clearing the 119 level relatively easily and spiking from the 119.25 earlier today, reaching as high as 120.5, the level is now acting as temporary overhead resistance.
It was last found trading at 120.44, and the closest support can be found at the 119.2 range. Today we can expect a continuation of the trend and a move above the 120.5 level, possibly 121, as positive momentum is still at play.
However, if it doesn’t manage to hold at the current level, then a return towards the 119.2 range can be expected.
