USD/JPY: Bullish Outlook with surpassed 21-HMA as Dollar Rebounds

USD/JPY stays consistent around 109 currently, uniting the reestablished uptick to new two-month highs of 109.04.

The spot is between the growth-based US dollar rebound and varying sentiment on the Asian equities, as US-China pressures keep on throwing a foreboding shadow on the global recovery.

The focus currently moves towards the US jobless issues on Thursday and Non-Farm payrolls information on Friday for further direction.

What Happens Next?

In front of the US socioeconomic events, the price is probably going to navigate in a rising movement with the inclination recommending expanded chances of a correction following the earlier surge.

Technical Outlook

The bullish predisposition will probably stay since the spot holds over the upward inclining 21-Hourly Simple Moving Average (HMA) support, presently at 108.83. The hourly Relative Strength Index (RSI) has turned level yet at the same time holds over the midline, recommending the bulls’ opportunity to regain an uptrend.

If the 21-HMA support yields, the correction will test the rising trendline support at 108.62.

Chances of selling will increase underneath the earlier support, as the trend will be confirmed. The bears will, at that point, focus on the target at 107.86. Nonetheless, new offers could rise at 108.51, the bullish 50-HMA before aiming a break close sub-108 levels.

On the other side, a daily close over 109 will open doors for additional upside.

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