USDJPY Movement
For the 24 hours to 23:00 GMT, the USD weakened 0.70% against the JPY and closed at 97.45, on lingering speculation that a weakness in the US jobs market might compel the Fed to continue with its asset-purchase programme for a longer time than expected.
In the Asian session, at GMT0300, the pair is trading at 97.29, with the USD trading 0.16% lower from yesterday’s close.
The pair is expected to find support at 96.99, and a fall through could take it to the next support level of 96.70. The pair is expected to find its first resistance at 97.75, and a rise through could take it to the next resistance level of 98.21.
Market participants await the release of Japan’s consumer inflation data for September. A rise in consumer prices would be seen as further evidence that the economy is on a growth trajectory, led by Prime Minister Shinzo Abe’s policy mix of bold fiscal and monetary stimulus to end deflation.
The currency pair is showing convergence with its 20 Hr moving average and is trading below its 50 Hr moving average.
