USD/JPY Price Analysis: Rallies back above 142.00 after clearing the 100-DMA

• USD/JPY recovered the 142.00 psychological level as buyers piled around the 140.00 figure.
• If the USD/JPY clears 143.00, a rally to the 50-day EMA is on the cards.
• USD/JPY Price Analysis: Upward biased, though buyers lack momentum, as shown by the RSI.

The USD/JPY bounces from below the 100-day Exponential Moving Average (EMA) and advances sharply above the 142.00 psychological level for the first time after dropping to three-month lows of 137.65 in the last week. Factors like sentiment, a buoyant US Dollar (USD), and reclaiming the 100-day EMA bolstered the USD/JPY. Hence, the USD/JPY is trading at 142.03, above its opening price by 1.21%, after hitting a daily low of 140.15.

USD/JPY Price Analysis: Technical outlook

The USD/JPY daily chart portrays the pair as neutral-to-upward biased once buyers reclaimed the 100-day EMA. Of note, on its way north, the Relative Strength Index (RSI) aims upwards, accelerating towards the 50-midline, which, once crossed, suggests that buyers are in charge. USD/JPY key resistance levels in the daily chart are November 11, high at 142.48, followed by the psychological 143.00 figure, ahead of the 50-day EMA at 145.07.

On the other hand, the USD/JPY first support would be the 142.00 mark. A breach of the latter will expose the 100-day EMA at 141.01, followed by September 22 swing low at 140.34, ahead for the MTD low of 137.65.

USD/JPY Key Technical Levels