The dollar was buttressed by new bets on U.S. rate hikes on Tuesday, while investors unloaded yen and sent it spearing below the psychological 120 level as the Bank of Japan looks increasingly isolated in its dovish policy stance.

The yen fell 0.8% and hit a six-year low of 120.46 in the Tokyo afternoon, having lost more than 4% on the dollar this month as leaping U.S. yields and a deteriorating trade balance suck cash from the world's third-biggest economy. (Reuters).

The USDJPY is bullish with its overbought status for the seventh day. Technically, Fibonacci must intervene for a minor correction towards the 23% level 119.16, when broken ⇒ 118.30, in order for the $ to continue its up trend against the YEN towards 122.00 and above.