USDJPY Movement
For the 24 hours to 23:00 GMT, the USD strengthened 0.11% against the JPY and closed at 107.03.
In the Asian session, at GMT0300, the pair is trading at 106.87, with the USD trading 0.15% lower from yesterday’s close.
Overnight data indicated that, Japan’s adjusted merchandise trade deficit widened to ¥1070.1 billion in September, following a revised adjusted merchandise trade deficit of ¥912.4 billion in August. Markets were expecting the nation’s adjusted merchandise trade deficit to fall to ¥911.4 billion. Meanwhile, Japanese exports climbed 6.9% on a YoY basis in September, compared to a drop of 1.3% registered in the prior month.
The pair is expected to find support at 106.37, and a fall through could take it to the next support level of 105.86. The pair is expected to find its first resistance at 107.25, and a rise through could take it to the next resistance level of 107.63.
Going ahead, market participants look forward to Japan’s manufacturing PMI, scheduled in the early hours tomorrow.
The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.
