FXstreet.com (Córdoba) - The Dollar is holding near the highs of the day against the Yen. USD/JPY rose to 92.03 after the opening bell posting a fresh one-month high. The pair rebounded but found support at 91.80 and currently trades at 92.00/02, 0.75% above today's opening price. If the pair rises further immediate resistance lies at 92.25 (Aug 10 high) and above at 92.50 (Sept 21 high).
James Chen, Chief Technical Strategist at FX Solutions, comments: Momentum indications are showing signs that price on this currency pair may be close to overbought. If there is indeed an impending exhaustion of the current bullishness within the context of the overall downtrend, a clear bearish trigger would be a strong breakdown below the short-term uptrend line. In this event, major downside support targets reside around 88.00, which represents the last major swing low earlier this month, and 87.00, which represents the double-tested low at the end of 2008 and beginning of 2009.