USDJPY gains are contingent on a daily closure above 137.80

USDJPY rises to a two-month high, extending a four-day winning streak.

The USDJPY bulls look to be tiring after reaching the highest levels in two months in early Tuesday, making rounds to 137.70-60 before of the European session.

As a result, the Yen pair depicts failure to pass a downward-sloping resistance line from December 2022. Which was close to 137.80 at the time of publication, under overbought RSI (14) circumstances.

Even if the pair manages to break above the 137.80 barrier, successful trading. Above the 138.00 round figure is required to restore market trust in the bulls.

Following that, the late 2022 swing high near 138.20 and the 140.00 round figure may act as the USDJPY pair bears’ final defines before giving buyers control.

Pullback movements, on the other hand, must overcome the 200-DMA support of to persuade USDJPY sellers, the daily closing price should be 136.95.

Nonetheless, the previous resistance line from late March, which was around 135.75 at the time of publication, joins the bullish MACD signals to challenge the Yen pair bears.

If the USDJPY pair falls below the 135.75 resistance-turned-support level, more declines are not out of the question.

To summaries, USDJPY remains on the bull’s radar, even if higher momentum has been elusive recently.

Daily Trend