USD/JPY opened Monday with a 25-pip gap and is trading 0.48 pct higher on the day around 102.23.
The pair has broken 20-DMA and momentum has turned . Stochs, and indicate further upside in the pair.
Scope for test of 50-DMA at 102.74, violation there could see test of 103.51 (50% Fib) and then major resistance and 61.8% Fib at 104.45.
Supports on the downside are seen at 101.41 (23.6% Fib), 101.06 (20-DMA) and 100.87 (Aug 5 low).
US personal spending and income report due later today will be in focus for further direction.
Good to buy dips around 102 levels, SL: 101, TP: 102.75/ 103/ 103.50
Slight weakness on hourly charts.
Strong support at 102.83, break below could see drag upto 102.40.
Raise trailing stops to 103.20, target 104.
Focus on US ISM Manufacturing and Markit’s PMI data due later in the NA session.
Focus on US NFP later today in the NZ session.
Bias neutral for now.