The USDJPY has been surging higher since moving above the 116.00 figure last week. This move is based on the fundamental weakness currently of Japan’s economy and is reflected in other yen crosses as well.
The USD was strong today and after the economic news, a long was taken in the USDJPY risking 13 pips for a potential 54 pips to our daily target at 126.13.
Today the pair tried to take out the 126.00 figure and immediately ran into sellers. We closed the trade immediately after the rejection.
Yesterday the pair was not able to close above 126.00. A close above 126.00 would take out the high from May 31, 2015 which was in the 125.85 area and potentially open the door for a continued move higher next week.
Many of the world’s markets will be closed tomorrow for the Easter long weekend.
Happy Easter and good luck with your trading!
