Technical EYE indicates that buying is slightly stronger in dollar-yen, with the focus on whether it can break above the previous day's high of 158.77. Attention is turning to the next move following price action near the previous day's close.
Dollar-yen fell to around 157.41 in the middle of the Tokyo session but recovered to the 158 range toward the end of the session. The previous day's daily candlestick was a long bullish candle, which is viewed as indicating strong buying interest.
The first hurdle is around the previous day's high of 158.77. A break above it could bring the 24 September high of 159.04 into view, with the 100-day moving average at 159.15 and the Bollinger +3σ at 159.41 also likely to attract attention. Above these levels, a battle around the ¥160 level is expected.
Under the downside scenario, a break below today's low of 157.41 could lead to a test of 157.00. A break below 157.00 would bring the Bollinger −3σ at 156.53 and the 23 October low of 156.08 into view.
Overall, buying interest is considered stronger than the previous day, and the focus is on whether dollar-yen can hold above and break through the 158 range.