USD/JPY bullish: investors pro Trump's protectionist reforms and positive geopolitical outlooks

Currently, USD/JPY is trading at 105.77, down -0.10% on the day, having posted a daily high at 105.97 and low at 105.55.

USD/JPY was a big turnaround after after Trump won the elections, rallying back from 101.17 after dropping from 105.45 as the votes came in and favoured Trump. The rally has hit a high of 105.88 so far in risk-on markets that are encouraged by Trump's plans for reforms that are protectionist and generally positive for the US economy and potentially a peaceful geopolitical outcome and a genuine peace-accord with Russia and Syria and bring an assemblance of order and peace to that region of the world where US military presence has otherwise been building up this year particularly and an area where Clinton may have otherwise accelerated conflict.

S&P affirms stable outlook for the United States of America

Wall Street was also a big bounce back and pulled idle money in the yen and safe havens back into play propelling USD/JPY higher and the DXY to a one week high. For Tokyo, the outlook is quiet and the major is in consolidation above the 200 dma at 105.25. The next area that markets will focus is the Fed:

Trump's victory: Implications for the FOMC - Westpac

USD/JPY levels

USD/JPY: lifting 2017 forecast to 115.00 - ANZ

Current price is 105.78, with resistance ahead at 105.80 (Daily Classic R2), 105.88 (Monthly High), 105.88 (Weekly High), 105.89 (Daily Open) and 105.90 (Yesterday's High). Next support to the downside can be found at 105.55 (Daily Low), 105.45 (Daily Classic R1), 104.87 (Daily Classic PP), 104.81 (Hourly 20 EMA) and 104.72 (Weekly Classic R1).