USDJPY Movement
For the 24 hours to 23:00 GMT, the USD weakened 0.26% against the JPY and closed at 120.67.
The Japanese Yen strengthened, after the BoJ left its monetary policy unchanged at its recent monetary policy meeting.
Further, the BoJ extended the timing to achieve its 2.0% inflation target further by half a year to “around the second half of fiscal 2016”. The central bank also trimmed its forecasts for the nation’s GDP to 1.2% from 1.7% for 2015, and to 1.4% from 1.5% for 2016.
In the Asian session, at GMT0400, the pair is trading at 120.33, with the USD trading 0.28% lower from Friday’s close.
Early morning data showed that Japan’s final Nomura/JMMA manufacturing PMI index advanced to a level of 52.4 in October, after recording a preliminary reading of 52.5 but a strong improvement from the final reading of 51.0 in the previous month.
The pair is expected to find support at 119.89, and a fall through could take it to the next support level of 119.45. The pair is expected to find its first resistance at 121.14, and a rise through could take it to the next resistance level of 121.94.
Moving ahead, investors will look forward to the BoJ’s monetary policy meeting minutes, scheduled to be released this week.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
