USDJPY Movement
For the 24 hours to 23:00 GMT, the USD weakened 0.07% against the JPY and closed at 122.61.
In the Asian session, at GMT0400, the pair is trading at 122.61, with the USD trading flat from yesterday’s close.
Overnight data showed that Japan’s national consumer price index rose 0.3% YoY in October, as expected, compared to a flat reading in the previous month. Additionally, the nation’s unemployment rate unexpectedly declined to a 20-year low level of 3.1% in October, down from 3.4% in the previous month and against expectations for it to hold steady at that level. However, household spending in Japan surprisingly declined for the second straight month by 2.4% YoY in October, against market forecasts for a 0.1% rise, and compared to a 0.4% drop in the previous month.
The pair is expected to find support at 122.49, and a fall through could take it to the next support level of 122.37. The pair is expected to find its first resistance at 122.74, and a rise through could take it to the next resistance level of 122.86.
Going ahead, investors will look forward to Japan’s industrial production and Nikkei manufacturing PMI data, scheduled to be released next week.
The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.
