USD/JPY: Dollar above 97.65 Asian session high

The Dollar is crawling higher on early European session and, after having set a bottom at 97.10 on Asian session, the Dollar has broken above 98.65 intra-day high, reaching a fresh high at 97.85.

According to Carol Harmer, Technical Analyst at Charmer Charts. 97.85/95 would trigger profit-taking: “Now if buyers do their job well and 97.05 does hold there will be a correctionary rally with 97.85/95 then the short term objective. Buyers will take profits. Sellers will be happy to re-establish shorts and it is only above 98.04 that sellers would be worrying.”

On the downside, Harmer observes 97.05 support for further weakness: “USD/JPY has continued the slide and is currently at our last line of defence support of 97.05. Buyers will be aware of this and defend as much as possible. However the sellers do seem to have the upper hand, and if 97.05 breaks then further weakness will be inevitable.”