USDJPY Movement
For the 24 hours to 23:00 GMT, USD weakened 0.61% against the JPY and closed at 77.77.
In Japan, the preliminary machine tool orders declined 2.6% (YoY) in August, from a 6.7% decline in July.
The Japanese Finance Minister, Jun Azumim, stated that Europe, the US and China all have downside risks to their economies, and he would be watching the Japanese economy further before deciding on additional policy steps.
In the Asian session, at GMT0300, the pair is trading at 77.84, with the USD trading 0.09% higher from yesterday’s close.
Data released this morning in Japan showed that the tertiary industry activity index on a seasonally adjusted basis fell 0.8% (MoM) in July, against the forecasts for a contraction of 0.5%. Additionally, machinery orders rose better-than-expected by 4.6% (MoM) in July, compared to a 5.6% gain in June.
The pair is expected to find support at 77.61, and a fall through could take it to the next support level of 77.39. The pair is expected to find its first resistance at 78.15, and a rise through could take it to the next resistance level of 78.47.
The currency pair is showing convergence with its 20 Hr moving average and trading below its 50 Hr moving average.
