USDJPY STRUGGLING WITH LOW TRADING VOLUMES

The US dollar continues to trade close to the best level of the month against the Japanese yen currency on Monday, despite broad-based weakness in the US dollar Index. Trading volumes remain muted, due to the Japanese and Chinese markets observing national holiday. The bullish inverted head and shoulders pattern continues to work, with the pattern showing a projection to the 115.00 level.

• The USDJPY pair is strongly bullish while trading above the 112.15 level, key resistance is now found at the 113.20 and 114.10 levels.

• If the USDJPY pair moves below the 112.15 level, key support is found at the 111.75 and 111.37 levels.