USDJPY Movement
For the 24 hours to 23:00 GMT, the USD declined 0.10% against the JPY and closed at 108.75.
Data showed that Japan’s leading economic index unexpectedly fell to a level of 91.8 in October, defying market consensus for a rise to a level of 92.0. In the prior month, the index had recoded a reading of 91.9. Moreover, the nation’s preliminary coincident index unexpectedly dropped to a level of 94.8 in October, compared to a level of 101.1 in the previous month. Market participants had expected the index to advance to a level of 101.5.
In the Asian session, at GMT0400, the pair is trading at 108.68, with the USD trading 0.06% lower against the JPY from yesterday’s close.
The pair is expected to find support at 108.56, and a fall through could take it to the next support level of 108.44. The pair is expected to find its first resistance at 108.90, and a rise through could take it to the next resistance level of 109.12.
Looking ahead, traders would keep an eye on Japan’s gross domestic product, trade balance data and machinery orders, all set to release next week.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
