USD/JPY rising after 7-day slide

USD/JPY  reached fresh daily highs during the American session at 104.82, level located slightly below Monday’s top. Currently the pair is trading around 104.75, up more than 80 pips, headed toward the first daily gain after falling during the previous seven days.

After sliding at the beginning of Tuesday, the US dollar recovered momentum and the yen drooped across the board pushing USD/JPY back above 104.00. The area around last week lows at 103.55 capped the decline on Asian hours and from there the pair rallied.

It rose constantly and it was unaffected by the words of Janet Yellen at a Senate Committee. An improvement in rise appetite (the Dow Jones is up 0.21% and the Nasdaq gains 0.06%) and falling US bond yields (10-yr is testing 1.70%). Weakened the demand for the Japanese currency. With the Brexit referendum starting in about 36 hours, volatility in the forex could start rising.

USD/JPY technical levels

To the upside, immediate resistance is seen at 104.85 (June 17 & 20 high) and then at 105.50 (May 3 low) and 106.20 (June 9 low). On the opposite direction, support could be located at 104.35, 104.05 (June 17 low) and 103.55/60 (June 16 & 21 low).