USDJPY Movement
For the 24 hours to 23:00 GMT on Friday, the USD strengthened 0.21% against the JPY and closed at 90.00.
On Friday, Japanese industrial production declined a seasonally adjusted 1.4% (MoM) in November, slower than the 1.7% fall estimated earlier. Similarly, capacity utilization in Japanese industries fell a seasonally adjusted 0.2% (MoM) in November, compared to a 1.6% rise in the previous month.
Additionally, Koichi Hamada, advisor for Prime Minister Shinzo Abe, stated that Japan must guard against allowing the yen to depreciate too quickly against other major currencies. He also indicated that the Bank of Japan is expected to take some form of monetary easing steps at its rate review next week.
In the Asian session, at GMT0400, the pair is trading at 89.55, with the USD trading 0.50% lower from Friday’s close.
The pair is expected to find support at 89.23, and a fall through could take it to the next support level of 88.91. The pair is expected to find its first resistance at 90.07, and a rise through could take it to the next resistance level of 90.59.
The currency pair is trading just below its 20 Hr and 50 Hr moving averages.
