USDJPY Movement
For the 24 hours to 23:00 GMT, the USD weakened 0.33% against the JPY and closed at 99.24, spooked by Fed Vice Chairman, Janet Yellen’s remarks that the US economy is performing far below its potential and that the central bank’s stimulus measures should be in place to assist growth.
Meanwhile, in Japan, Bank of Japan (BoJ) Board Member, Ryuzo Miyao, at a meeting with business leaders in Matsumoto, stated that the downside risks to Japan’s moderate recovery are slightly larger than upside risks.
In the Asian session, at GMT0400, the pair is trading at 99.70, with the USD trading 0.47% higher from yesterday’s close. Earlier today, Japan’s Cabinet Office reported that the nation’s Gross Domestic Product (GDP), on an annualised basis, rose 1.9% in the third quarter, slightly more than analysts’ call for a 1.7% rise and compared to a 3.8% increase registered in the preceding quarter.
The pair is expected to find support at 99.29, and a fall through could take it to the next support level of 98.88. The pair is expected to find its first resistance at 99.93, and a rise through could take it to the next resistance level of 100.15.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
