USD/JPY: an offer in the dollar and a downside bias

Currently, USD/JPY is trading at 116.36, down -0.22% on the day, having posted a daily high at 116.73 and low at 116.04.

USD/JPY has taken a hit with the dollar 'given' across the board with investors reluctant to hold onto a dead horse currently as the theme continues to get short of the dollar in holiday and thin trade. However, that is tipped to come to an end as full markets come back into play in 2017 and buying dips/dumps in USD/JPY could be in play at the moment and next best trade. The Trump factor was supporting a bullish outlook for the dollar as was the FOMC when the Fed hiked rates with an increase in the dot plot from two to three hikes in 2017.

Wall Street: one day to go and looking to end with double-digit annual returns

USD/JPY levels

Spot is presently trading at 116.37, and next resistance can be seen at 116.52 (Weekly Classic S1), 116.59 (Daily Classic S2), 116.62 (Hourly 20 EMA), 116.62 (Weekly Low) and 116.62 (Daily Open). Next support to the downside can be found at 116.23 (Yesterday's Low), 116.12 (Daily Classic S3), 116.04 (Daily Low), 115.83 (Daily 20 SMA) and 115.68 (Weekly Classic S2). 

Ready for 2017?