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Greenback regains its mojo

While the euro was the main point of focus on the back of the developments around Greece, the greenback was a quiet achiever and managed to regain some ground against the majors.

CFDs are a leveraged product and can result in losses that exceed deposits. Trading CFDs may not be suitable for everyone, so please ensure you fully understand the risks and take care to manage your exposure.
Greenback
Source: Bloomberg

Some positive housing data out of the US supported the greenback as existing home sales came in much better than expected. USD/JPY caught a bit of a tailwind from the whole situation and finally came off its base in the ¥122.50 region.

A disappointing flash manufacturing PMI out of Japan today also helped the situation as it caused some yen weakness. USD/JPY had a great run after finding support in May from around the ¥119.00 region and managed to climb to within striking distance of ¥126.00.

Unfortunately, the rally stalled in that region and the pair has come under pressure. This resulted in some consolidation around the ¥123.00 region. It now seems traders are keen to get involved in the pair again as it finds support from the 38.2% retracement of the recent rally.

The next resistance is in the ¥124.25 region, which is the 23.6% retracement of that move. A move above this resistance could see the pair challenge ¥125.90. On the calendar today we have durable goods orders due.

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CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.