USD/JPY clings to 106.00 after US data

USD/JPY remained pretty steady near daily highs following the release of the latest string of US data, which came mostly above expectations.

Despite encouraging data, US industrial production rose at its fastest pace in almost a year in June, CPI rose 0.2% and retail sales grew 0.6%, the dollar failed to extend gains versus the yen, and continued to consolidate around the 106 mark. At time of writing, the pair is trading at 105.93, recording a 0.58% gain on Friday.

USD/JPY levels to watch

In terms of technical levels, if USDJPY breaks decisively above 106.30 (50-day SMA/Jul 15 high), next resistances are seen at 106.80 (Jun 24 high) and 107.89 (Jun 7 high). On the other hand, supports could be found at 105.04 (Jul 15 low), 103.90 (Jul 13 low) and 103.23 (20-day SMA).