USDJPY Movement
For the 24 hours to 23:00 GMT, the USD rose 0.7% against the JPY and closed at 113.92 on Friday.
On the data front, Japan’s preliminary leading economic index climbed more-than-expected to a level of 104.7 in May, compared to a level of 104.2 in the prior month. Moreover, the nation’s flash coincident index eased to a level of 115.5 in May, at par with market expectations. In the prior month, the index had registered a reading of 117.1.
In the Asian session, at GMT0300, the pair is trading at 114.12, with the USD trading 0.18% higher against the JPY from Friday’s close.
Overnight data indicated that Japan surprisingly posted a higher-than-expected trade deficit (BOP basis) of ¥115.1 billion in May, compared to a surplus of ¥553.6 billion recorded in the preceding month, while investors had envisaged the nation to register a deficit of ¥45.0 billion. Also, the nation’s machinery orders surprisingly declined 3.6% in May, compared to a fall of 3.1% in the previous month and confounding market consensus for a gain of 1.7%.
The pair is expected to find support at 113.68, and a fall through could take it to the next support level of 113.24. The pair is expected to find its first resistance at 114.38, and a rise through could take it to the next resistance level of 114.64.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
