The Dollar/Yen rises as the greenback strengthens due to a rise in US Treasury yields and due to the release of positive US job data figures. The US Dollar was supported by the continuous rise in US Treasury yields with the 10-Year yield pushing higher above 2.90%. Additionally, the US Dollar was also supported by positive US job data, with the Initial Jobless Claims printing lower than expected at 206k compared to the expected 226k. Note that the rise in yields and positive job data outweighed the effect of the drop in the performance of global stocks. Going forward, the pair will continue to be driven by US yields and the performance of global equities.
The Dollar/Yen’s momentum is clearly bullish after prices recently rejected the break below the 13-period moving average. When looking at prices since December 10, we can conclude that the pair is in a minor uptrend. The most recent break above the 113.38 resistance exposes the next key resistance level at 113.80.
Support: 112.89/ 112.50
Resistance: 113.38 / 113.85