USD/JPY Continues To Push Higher

USD/JPY added a handful of pips as Japanese cash markets re-opened, with the Nikkei 225 kicking off on the front foot. The rate sits at Y105.48, 7 pips better off as we type. As a reminder, it's a Gotobi day today, which may result in some modest pressure to the yen.

• A quick look into the local press:
• Yomiuri reported that the gov't considers corporate tax cuts for SMEs to encourage M&A.
• Kyodo reported that the Health Ministry will seek a Y33tn budget for FY2021.
• In the rearview mirror: USD/JPY wavered yesterday, as participants assessed the global coronavirus situation, Fedspeak & the prospects for a U.S. fiscal deal. It finished the day just one pip above neutral levels, extending its winning streak to four sessions, just.
• A break above the 20-EMA/yesterday's high at Y105.50/53, followed by the 50-EMA at Y105.95 & Sep 8 high of Y106.38. Conversely, a dip through Sep 22 low of Y104.41, which would expose Sep 21 low of Y104.00.
• Japan's docket next week features Tokyo CPI (Tuesday), retail sales & flash industrial output (Wednesday), Tankan Survey & final Jibun Bank M'fing PMI (Thursday), as well as unemployment (Friday). The Summary of Opinions from the BoJ's most recent MonPol meeting comes out on Tuesday.