USDJPY Movement
For the 24 hours to 23:00 GMT, the USD weakened 0.56% against the JPY and closed at 113.17.
Yesterday, the BoJ Governor, Haruhiko Kuroda, indicated that it was theoretically possible for the central bank to undertake an additional interest rate cut to around -0.5%. He further mentioned that the BoJ’s policy tools for further monetary stimulus would depend on prevailing economic conditions.
In the Asian session, at GMT0400, the pair is trading at 113.41, with the USD trading 0.21% higher from yesterday’s close.
The pair is expected to find support at 112.64, and a fall through could take it to the next support level of 111.88. The pair is expected to find its first resistance at 114.17, and a rise through could take it to the next resistance level of 114.92.
Going ahead, investors will look forward to Japan’s adjusted merchandise trade balance data for February, scheduled to release overnight.
The currency pair is trading above its 20 Hr moving average and is showing convergence with its 50 Hr moving average.
