US dollar shown signs of recovery after testing 106.6 yesterday. Concerns on global economy growth has pushed US dollar trading lower these day. However, in our opinion, US economy is still performing much better than other areas and the medium term bull trend is still intact, even in case of interest rate hike is delayed.
We expect USDJPY will continue to retrace lower but limited to 106.00, a very strong support level. 106.00 – 106.500 will be a strong buy zone.
Forex Trading Signals:
We will watch for signals to buy USDJPY around 106.00.
-106.00 – 106.500