USD/JPY surges to six-year high

<p>USD/JPY (daily chart shown below) has continued its breakout run of the past month, far surpassing its 2014 high of 105.43 which was hit at […]</p>

USD/JPY (daily chart shown below) has continued its breakout run of the past month, far surpassing its 2014 high of 105.43 which was hit at the beginning of the year. In the process, the currency pair hit a fresh six-year high of 107.38 late last week.

Exceptional US dollar strength within the past month has prompted USD/JPY to leave behind the prolonged trading range that had been firmly in place almost since the beginning of the year.

2014-09-15-USDJPY

The recent steep rise confirms a continuation of the overall bullish trend that has been in place since 2012, as outlined by a clear rising trend line.

The major moving averages, including the 50-day and 200-day, which were previously fluctuating in a sideways channel, have crossed unmistakably to the upside and are pointing towards higher potential highs.

The next major upside target within the current bullish environment continues to reside around the 108.00 resistance level directly to the upside, last hit in 2008.

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