USDJPY Movement
For the 24 hours to 23:00 GMT, USD strengthened 0.59% against the JPY and closed at 78.87.
In the US, jobless-benefit claims unexpectedly slid to a four-year low. Additionally, housing starts came in higher than expected in January, while Philadelphia-area manufacturing activity continued to expand in February.
Meanwhile, in the Bank of Japan (BoJ) Minutes of the latest meeting on monetary policy, the central bank noted that caution over the impact of the European debt crisis is still needed. It acknowledged that the crisis in Europe could result in weaker growth not only in the European economy but also in the global economy.
In the Asian session, at GMT0400, the pair is trading at 79.08, with the USD trading 0.26% higher from yesterday’s close.
The pair is expected to find support at 78.57, and a fall through could take it to the next support level of 78.06. The pair is expected to find its first resistance at 79.38, and a rise through could take it to the next resistance level of 79.69.
With no key Japan economic releases in the day ahead, JPY is expected to ride on general market cues against the greenback.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
