USDJPY Movement
For the 24 hours to 23:00 GMT, USD weakened 1.04% against the JPY and closed at 80.72. Yen strengthened against greenback, following Bank of Japan’s (BoJ) decision to keep its key interest rate unchanged in the range of 0.0% to 0.1% and holding off from monetary easing measures.
The BoJ Governor, Masaaki Shirakawa, yesterday, offered a slightly brighter outlook for the Japanese economy, stating that the odds are increasing that a gradual recovery would take shape in the first half of fiscal 2012, in line with the central bank’s main scenario.
In economic news, the machine tool orders, in Japan, rose 2.4% (YoY) in March, compared to an 8.6% decline in February.
In the Asian session, at GMT0300, the pair is trading at 80.78, with the USD trading 0.07% higher from yesterday’s close.
The pair is expected to find support at 80.34, and a fall through could take it to the next support level of 79.91. The pair is expected to find its first resistance at 81.49, and a rise through could take it to the next resistance level of 82.21.
Trading trends in the pair today are expected to be determined by release of money supply data and Domestic Corporate Goods Price Index in Japan.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
