USDJPY Movement
For the 24 hours to 23:00 GMT, USD traded flat against the JPY and closed at 79.08.
Yesterday, the Bank of Japan (BoJ), in its monthly economic report, upgraded its overall assessment of the economy citing that country’s economic activity has started picking up moderately as domestic demand remains firm.
In economic news, nationwide store sales in Japan fell 1.0% (YoY) in May, compared to a rise of 1.3% in April.
In the Asian session, at GMT0300, the pair is trading at 78.97, with the USD trading 0.14% lower from yesterday’s close, amid prospects that policy makers would consider further monetary easing steps to sustain the US economy in the Federal Reserve meeting, later today.
The pair is expected to find support at 78.79, and a fall through could take it to the next support level of 78.60. The pair is expected to find its first resistance at 79.23, and a rise through could take it to the next resistance level of 79.49.
Trading trends in the pair today are expected to be determined by the release of leading index, coincident index, merchandise trade balance and BoJ Minutes.
The currency pair is trading below its 20 Hr and is converging its 50 Hr moving average.
