The price chart of the USD/JPY pair seems to have maintained its best performance by hitting the latest record high at around 115.500 at the end of yesterday's trading session (Wednesday).
The surge is by far the highest level ever reached in a period of 5 years since January 2017 and has resulted in an increase of more than 1,200 pips throughout 2021.
The bullish trend can be seen after the price remains trading above the Moving Average 50 (MA50) barrier level and is further strengthened by the form of a bullish candle on a larger timeframe.
The USD continued to strengthen its position as the king of currencies after receiving support from a 10 -year surge in US treasury yields that came close to 1.70%.
Risky market sentiment was also the reason for the strengthening of the USD as the current situation was hampered by suffering following the resurgence of the Covid-19 outbreak.
Important US data published with positive readings has hampered the efforts of the ‘samurai’ Yen currency in displaying dominance despite also gaining influence as a safe-haven currency.
This means that investors are likely to wait for the price movement to test the 155,500 high first in order to expect the price to be able to head to the 116,000 resistance zone.
The higher surge is expected to reach up to the resistance zone by the end of 2016 around 117.000-118.000 and will see the latest high levels created again.
If the price movement receives pressure to return to decline, the previously observed resistance in the RBS zone (resistance become support) 115,000 is likely to be re -touched.
While the RBS 114.460 zone is expected to be the focus zone that will be tested if a lower decline occurs and it is likely to give an early signal for a trend change.
