USDJPY Movement
For the 24 hours to 23:00 GMT, the USD weakened 0.53% against the JPY and closed at 78.39.
Yesterday, the Bank of Japan (BoJ) Governor, Masaaki Shirakawa, stated that Japan’s economic recovery might be delayed by six months due to a prolonged slowdown in global growth.
In economic news, Japan’s leading economic index fell to a reading of 93.0 in July, while the coincident index dropped to 93.8 in July.
In the Asian session, at GMT0300, the pair is trading at 78.33, with the USD trading 0.08% lower from yesterday’s close.
This morning, merchandise trade deficit in Japan rose to ¥754.127 billion in August, compared to the downwardly revised deficit of ¥518.9 billion in July.
The pair is expected to find support at 77.99, and a fall through could take it to the next support level of 77.64. The pair is expected to find its first resistance at 78.95, and a rise through could take it to the next resistance level of 79.56.
In Japan, investors await machine tool orders data due out later today.
The currency pair is trading below its 20 Hr and 50 Hr moving average.
