USDJPY Movement
For the 24 hours to 23:00 GMT, the USD strengthened 0.17% against the JPY and closed at 120.24.
In the Asian session, at GMT0300, the pair is trading at 119.92, with the USD trading 0.27% lower from yesterday’s close.
Early morning data showed that Japan’s manufacturing PMI dropped for the first time in three months in September to a level of 50.9, from 51.7 recorded in the preceding month, thereby increasing concerns about the global economic outlook. Meanwhile, the all industry activity index advanced 0.2% on a monthly basis in July, compared to a rise of 0.3% in the preceding month.
The pair is expected to find support at 119.51, and a fall through could take it to the next support level of 119.10. The pair is expected to find its first resistance at 120.44, and a rise through could take it to the next resistance level of 120.97.
Going forward, market participants anxiously await the release of Japan’s national consumer price inflation data, scheduled overnight.
The currency pair is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.
