USDJPY Movement
For the 24 hours to 23:00 GMT, USD weakened 0.89% against the JPY and closed at 81.27. Yen strengthened against the greenback, after a report showed the US economy has slowed, reducing the earnings outlook for Japanese exporters.
In Japan, this morning, the retail sales, declined by 4.8% (Y-o-Y) in April, following 8.3% increase recorded in March. Meanwhile, the core consumer price index rose by 0.6% (Y-o-Y) in April. GDP in the US rose at an annual rate of 1.8% in the first quarter of 2011 (1Q FY2011), matching initial estimates. However, market had expected the GDP growth to be revised upwards to 2.1% in 1Q FY2011.
In the Asian session at 3:00GMT, the pair is trading lower from the New York close, by 0.31%, at 81.02.
The first short term resistance is at 81.71, followed by 82.40. The pair is expected to find support at 80.65 and the subsequent support level at 80.28.
The currency pair is trading well below its 20 Hr and its 50 Hr moving averages.
