USDJPY Movement
For the 24 hours to 23:00 GMT, the USD strengthened marginally against the JPY and closed at 97.65.
In the Asian session, at GMT0400, the pair is trading at 97.57, with the USD trading 0.08% lower from yesterday’s close. Earlier today, an official report revealed that Japan’s unemployment rate fell to 4.0% in September, in line with market expectations and compared to previous month’s level of 4.1%. Another report showed that the overall household spending in Japan rose 3.7% (YoY) in September, more than analyst’ call for a 0.7% rise from a 1.6% fall registered in the previous month. Similarly, on a seasonally adjusted basis, Japan’s retail sales advanced 1.8% (MoM) during September, surpassing analysts’ expectation for a 0.4% rise and compared to a 0.9% increase witnessed in the earlier month.
The pair is expected to find support at 97.42, and a fall through could take it to the next support level of 97.26. The pair is expected to find its first resistance at 97.76, and a rise through could take it to the next resistance level of 97.95.
Traders await the release of Japan’s industrial production data, which is expected to rebound 1.8% (MoM) in September, from a 0.9% fall registered in the preceding month.
The currency pair is trading below its 20 Hr moving average and is showing convergence with its 50 Hr moving average.
