USDJPY Movement
On Friday, the USD weakened 0.06% against the JPY and closed at 97.35.
In the Asian session, at GMT0400, the pair is trading at 97.60, with the USD trading 0.25% higher from Friday’s close. The Japanese Yen gave up ground against its US counterpart after the Bank of Japan (BoJ) Deputy Governor, Kikuo Iwata, on Sunday, reiterated central bank’s commitment to its massive quantitative easing programme to end the prolonged deflation in the economy and attain its 2% inflation target. He added that the nation’s monetary and fiscal policies are at a critical point for ending deflation.
The pair is expected to find support at 97.12, and a fall through could take it to the next support level of 96.64. The pair is expected to find its first resistance at 97.90, and a rise through could take it to the next resistance level of 98.20.
Market participants await the release of Japan’s unemployment rate data and a report on the nation’s retail trade, due later today, for further guidance in the yen.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
