The recent US retails sales report came out reassuring. It provided support to USDJPY. In the light of the published data, the currency strategists working for Barclays Capital assume that the currency pair will touch 80.00by the end of the month.
The Us Dollar is expected to gain support over the next few weeks. Japanese investors are expected to repatriate their income as usual. That is why it is unlikely to support the Japanese Yen.
The overall prospects of the Us currency will be decisive for the near-future dynamics of the USDJPY exchange rate. A decline in the expectations of QE3 will definitely become a bullish factor for the US Dollar.
According to , the Japanese Yen is weakening against the US Dollar. The experts report that USDJPY is forming a big-scale upswing represented by wave А/В of level Daily.
A further rally will be seen after breaking above the 79.04 high. If this is the case, the price probably encounter resistance around 79.11, 79.25/27, 79.32/38, 79.59. The current bullish move will be completed as soon as the price overcomes the bottom of the MF sloping channel and consolidates below 78.15 (as shown below).
