USDJPY Movement
For the 24 hours to 23:00 GMT, USD weakened 0.48% against the JPY and closed at 78.77, after investors, weary of interpreting Ben Bernanke’s reserved testimony before Congress, opted for the Yen.
Federal Reserve (Fed) Chairman, Ben Bernanke concluded two days of congressional testimony, reiterating past policy stances that the Fed remains ready to jolt the economy via monetary stimulus measures if needed, but made no real hint if that need would arise any time soon.
In Japan, cash earnings fell 1.1% (YoY), logging it first decline in four months, while machine tool orders fell 15.5% (YoY) in June.
In the Asian session, at GMT0300, the pair is trading at 78.56, with the USD trading 0.27% lower from yesterday’s close.
The pair is expected to find support at 78.34, and a fall through could take it to the next support level of 78.13. The pair is expected to find its first resistance at 78.95, and a rise through could take it to the next resistance level of 79.35.
Trading trends in the pair today are expected to be determined by the release of leading index and coincidence index data in Japan.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
