The US dollar has been flexing its muscles against the Japanese yen, with the USDJPY currency pair breaking through a significant resistance level at 156.79. This breakout has propelled the pair higher, extending its upside move from 151.86 all the way to a recent peak of 157.37.
Bullish Momentum Intact The current price action suggests that further gains for the USDJPY are likely in the coming days. The next target for bulls is the 158.00 handle, followed by the 159.00 area.
Potential Support Zone If the pair experiences a pullback, the initial support level to monitor is 156.50. A breakdown below this level could see the price retrace towards the rising trendline on the 4-hour chart.
Overall, the USDJPY has demonstrated remarkable strength, breaking through resistance and continuing its upward trajectory. While further gains seem probable, traders should keep an eye on the 156.50 support level, as a breach of this area could trigger a retracement towards the rising trendline.