USD/JPY catches fresh bid, re-takes 100.50

The bid tone behind the US dollar keeps growing bigger as we head towards the European open, driving USD/JPY back towards the daily top.

USD/JPY looking to regain 10-DMA at 100.48

Persistent broad based US dollar strength extends into the European trading, with markets preferring to hold the reserve currency ahead of the much-awaited Jackson Hole Symposium, which may provide some hints on the Fed rate hike campaign. The DXY rises +0.15% to fresh daily highs scored at 94.64 last minutes.

While gains in the Japanese stocks, in response to BOJ’s ETF purchases, also weighs on the yen flows and helps USD/JPY to swing back higher from 100.25 region. At the time of writing, USD/JPY trades +0.16% higher at 100.41.

Calendar-wise, the US existing home sales data will be watched for further USD moves alongside the US crude inventories data due later in the NA session.

USD/JPY Technical levels to watch

In terms of technicals , the immediate resistance is located at 100.50 (daily high). A break above the last, the major could test 101 (psychological levels). While to the downside, the immediate support is seen at 100 (round figure) and below that at 99.53 (Aug 16 low).