The USDJPY is trading to a new session high, propeled higher by soaring stocks (Nasdaq up 1.76%) and higher yields.
The price has just moved above the 50% of the 2019 trading range at 108.413. The pair is also above the swing low going back to February 2019, and the swing high from September and early October between 108.46 to 108.49. Bullish. The next target on the daily chart is the 200 day MA at 109.034. Closer risk today is for a move back below the 50% levle at 108.41.
Drilling to the hourly chart below, the 108.47 levels importance is easily seen. In September there were two highs. IN early October, there were two other highs. Today the price tried to stalll near the level until the recent push higher. So key level.
Other support levels for bulls would be at 108.36 and then the 38.2% to 50% of the move up today at 108.238 to 108.325. If the buyers are to keep the bullish play, those levels will be eyed as support. Moves below each lessens the bullish run/ break today.
PS. A look at the US yields below. The rates are about 1 bps off the highs but up nicely for the 2nd consecutive day on hope for increased global growth. Higher yields and stocks are a recipe for a run in the USDJPY.