USDJPY Movement
For the 24 hours to 23:00 GMT, the USD strengthened 0.43% against the JPY and closed at 102.95, after the Institute for Supply Management reported that its PMI on the US manufacturing sector rose above market estimates to a reading of 57.3 in November from 56.4 a month earlier.
Meanwhile, the Japanese Yen came under pressure, after the Bank of Japan (BoJ) Governor, Haruhiko Kuroda stated that the central bank would keep its monetary policy accommodative until inflation in the nation reaches its 2% target, consistent with earlier speech on November 25.
In the Asian session, at GMT0400, the pair is trading at 103.36, with the USD trading 0.40% higher from yesterday’s close. Earlier today, the BoJ reported that the monetary base in the nation rose 52.5% (YoY) in November, more than analysts’ expectations for a 47.2% rise and following a 45.8% increase witnessed in the previous month. Additionally, on an annual basis, labour cash earnings in Japan rose 0.1% in October, compared to a revised 0.2% decrease recorded in the previous month.
The pair is expected to find support at 102.65, and a fall through could take it to the next support level of 101.93. The pair is expected to find its first resistance at 103.73, and a rise through could take it to the next resistance level of 104.10.
Amid lack of major economic releases from Japan, during the later course of the day, traders are expected to eye global economic news for further guidance in the pair.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
