USD/JPY upside capped by 99.00

FXstreet.com (Barcelona) - It seems the USD upside faltered in the vicinity of the key level at 99.00 on Monday, although the bull run of USD/JPY remains impressive since Friday’s lows in sub 95.00 levels.

According to Jane Foley, Strategist at Rabobank, “We expect that USD/JPY can still rise gradually towards the USD/JPY105 area on a 12 mth view, but that the move will be slow and there are likely better levels to buy. The technical picture for USD/JPY is currently bearish with the weekly candlestick chart showing a ‘three black cross’ formation and the RSI coming off its peak”.

The pair is now up 0.79% at 98.65 with the next resistance at 99.00 (MA55d) followed by 99.36 (50% of 103.74-94.98) and finally 99.47 (high Jun.6). On the flip side, a breakdown of 97.43 (low Jun.10) would allow 97.32 (cloud top).

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