Stocks and bonds are a bullish catalyst for the pair.
The USDJPY hits a new session high, rising to 113.82. Higher stocks (S&P up 0.50% or 11.88 points) are helping. US yields have also moved to session highs. The 10 year yield is up 2.1 bp to 2.3468%. Higher yields ----> Higher USDJPY (at least in recent history).
In the process, the pair is up testing its 100 hour MA at 113.789. The price is trading just above that MA now. So the buyers are taking more control. The highs from last week are the next targets at 113.915-95, and above that, the three tops in the 114.33-367 area will be key for the bulls.
Traders will be on the lookout for a failure. A move below the prior high (get back below 113.70) will probably not be welcomed by bulls looking for more upside.
