USD/JPY off highs around 120.80

FXStreet (Edinburgh) - After hitting the area of 121.20 in early trading, USD/JPY is now returning to the 120.80 area.

USD/JPY following the dollar

The pair extended the correction higher following the very auspicious results from the US labour market last Friday, pushing spot back above the key barrier at 121.00 and ready to challenge last week’s tops around 121.30.

In the data front, the Japanese GDP expanded 0.4% inter-quarter in Q4 and 1.5% on a yearly basis. In addition, Eco Watchers Survey improved to 53.2 and 50.1 in its Outlook and Current components, respectively for the last month.

USD/JPY levels to watch

As of writing the pair is up 0.13% at 120.85 with the next resistance at 121.29 (2015 high Mar.6) ahead of 121.86 (2014 high Dec.8) and finally 122.00 (psychological level). On the other hand, a breakdown of 120.62 (hourly low Mar.6) would open the door to 119.96 (Tenkan Sen) and then 119.90 (low Mar.6).

Crude net bullish positions drop for second week

As per the data released by the Commodity Futures Trading Commission (CFTC), speculators trimmed their bullish bets on crude in the last week, taking the overall bullish bets to the lowest level since December.
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SEB: EUR/USD should soon correct higher – eFXnews

The eFXnews Team notes SEB gives the intraday technical outlook for EUR/USD, with SEB viewing that a minor upward correction is possible for the pair.
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