The USD/JPY pair shot up during the session on Thursday, as the US dollar pummeled just about everything else. However, the 97.50 handle offered enough resistance to push the market back down. After all, that was one significant support, so it makes sense that we would see a little bit of a tapering off at that point. Nonetheless, we believe the writing is on the wall, and the pair should continue to go much higher. If the US dollar is going to be back by higher treasury yields, it certainly should do better than the Japanese yen which is been work against by its own central bank.
Written by FX Empire