USDJPY Movement
For the 24 hours to 23:00 GMT, the USD declined 0.12% against the JPY and closed at 110.68.
Data showed that Japan’s final machine tool orders fell 18.8% on a yearly basis in January, confirming the preliminary print and following a drop of 18.3% in the prior month.
In the Asian session, at GMT0400, the pair is trading at 110.75, with the USD trading 0.06% higher against the JPY from yesterday’s close.
Overnight data revealed that Japan’s national consumer price index (CPI) climbed 0.2% on an annual basis in January, meeting market expectations. In the previous month, the CPI had registered a rise 0.3%.
The pair is expected to find support at 110.59, and a fall through could take it to the next support level of 110.44. The pair is expected to find its first resistance at 110.88, and a rise through could take it to the next resistance level of 111.02.
Going ahead, traders would closely monitor Japan’s industrial production, manufacturing PMI, housing starts, consumer confidence and jobless rate, all set to release next week.
The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.
