USD/JPY climbs to a session high of 108.55

USD/JPY H1 20-04

The turnaround in Treasury yields yesterday helped to form a base in the pair around 108.00 but the push higher today is seeing the yen slip across the board with USD/JPY also turning higher to 108.50-55 currently.

There are still some notable resistance levels up ahead in the form of the 100-hour moving average (red line) @ 108.66 and the 23.6 retracement level @ 108.68.

Those will be key near-term levels to watch in gauging buyers' momentum amid the bounce off 108.00 as seen to start the new week.

10-year Treasury yields are now up 2.5 bps close to 1.63% and that may well be a key focus in the market in the sessions ahead.

Just be wary that while technicals are still dictating overall dollar sentiment now, higher yields may be more of a factor and provide some comfort for the dollar down the road.