USDJPY Movement
For the 24 hours to 23:00 GMT, the USD strengthened 0.59% against the JPY and closed at 98.33 as investors’ appetite for the greenback increased following the latest batch of strong economic releases from the US.
In the Asian session, at GMT0300, the pair is trading at 98.26, with the USD trading slightly lower from yesterday’s close. Earlier today, Japan reported that its consumer price index advanced 0.7% (YoY) during July from a 0.2% rise registered in the previous month. Meanwhile, industrial production in the nation rebounded 1.6% (YoY) in July from a 4.6% decline seen in the earlier month. However, the nation’s overall household spending rose 0.1% (YoY) during July, failing to meet market expectation for a rise of 0.3% and following a 0.4% drop recorded in the prior month.
The pair is expected to find support at 97.63, and a fall through could take it to the next support level of 96.99. The pair is expected to find its first resistance at 98.71, and a rise through could take it to the next resistance level of 99.16.
Investors are expected to keep a close watch on the release of Japan’s housing starts and construction orders data, due later today.
The currency pair is trading between its 20 Hr and 50 Hr moving averages.
