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USD/JPY climbs to highs near 120.30

FXStreet (Edinburgh) - The Japanese yen is intensifying its decline vs. its American counterpart on Monday, taking USD/JPY to the upper band of the range near 120.30.

USD/JPY focus on US docket

Spot has almost fully recovered the sharp sell-off recorded last Friday to the area of 118.60, following the disappointing figures from US Non-farm Payrolls during the last month. In addition, and helping the upside, market chatter regarding the likeliness of the BoJ incurring in further easing in the medium term remains an important source of JPY weakness for the time being.

On the data front, Markit’s Services PMI, ISM Non-manufacturing and the Labor Market Conditions Index are due next in the US docket.

USD/JPY levels to watch

As of writing the pair is advancing 0.29% at 120.26 facing the next hurdle at 120.40 (high Oct.2) ahead of 120.72 (high Sep.16) and then 120.99 (high Sep.17). On the other hand, a breakdown of 119.86 (low Oct.5) would open the door to 119.24 (low Sep.29) and finally 118.87 (low Sep.8).

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