USD/JPY to test the 108.16 July high

The USD/JPY pair trades at fresh highs in the 107.30 price zone, its highest since July 2020. As FXStreet’s Chief Analyst Valeria Bednarik notes, bulls eye the 108.16 level.

See: USD/JPY to target the July high at 108.16/20 – Commerzbank

Key quotes

“Speculative interest waits for a speech from US Federal Reserve’s head, Jerome Powell, eyeing comments on yields and possible adjustments to the monetary policy.”

“Japan published the February Consumer Confidence Index, which improved from 29.6 to 33.8. Later today, the US will publish initial Jobless Claims for the week ended February 26, foreseen at 750K.”

“USD/JPYis overbought but could keep advancing in the near-term. The Momentum indicator maintains its bullish slope above its 100 level while the RSI indicator consolidates around 74, all of which supports a bullish continuation towards 108.16, July 2020 monthly high.”