USDJPY bullish momentum growing

The US dollar is building bullish momentum against the Japanese currency on Wednesday, as the recent short-term recovery gains traction. The MACD and Momentum indicators on the daily time frame are starting trend higher, pointing to further intraday gains in the USDJPY pair. A clear break above the 109.08 resistance level may provoke further technical buying towards at least the 110.00 level.

• The USDJPY pair remains bullish while trading above the 108.40 level, key technical resistance is found at the 109.08 and 110.00 levels.

• If the USDJPY pair trades below the 108.40 sellers, a further decline towards the 108.10 and 107.75 levels may follow.