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10 Dec 2014
USD/JPY consolidating above 119.00
FXStreet (Córdoba) - USD/JPY remains steady during the last hours, holding above 119.00. Earlier bottomed at 118.66 but then rebounded and rose to 119.45.
USD/JPY still facing pressure in the short term
The currency market remained quiet with yen crosses moving in a small range. USD/JPY has been hovering around 119.10/15, 50 pips below yesterday’s closing price, headed toward the second daily decline in a row, but still holding considerably above Tuesday’s lows.
“The USD/JPY move has been one-way traffic since the surprise BOJ easing on 31st October but yesterday marked the largest turn in that trend since then”, noted Derek Halpenny, European Head of Currency Strategy at the Bank of Tokyo Mitsubishi UFJ.
According to Halpenny, there are three key risk events that lie ahead that may encourage some liquidation of long positions: “The general election on Sunday (in Japan), the FOMC statement and press conference next Wednesday and now the Greek presidential election that may trigger a snap election early next year”.
USD/JPY still facing pressure in the short term
The currency market remained quiet with yen crosses moving in a small range. USD/JPY has been hovering around 119.10/15, 50 pips below yesterday’s closing price, headed toward the second daily decline in a row, but still holding considerably above Tuesday’s lows.
“The USD/JPY move has been one-way traffic since the surprise BOJ easing on 31st October but yesterday marked the largest turn in that trend since then”, noted Derek Halpenny, European Head of Currency Strategy at the Bank of Tokyo Mitsubishi UFJ.
According to Halpenny, there are three key risk events that lie ahead that may encourage some liquidation of long positions: “The general election on Sunday (in Japan), the FOMC statement and press conference next Wednesday and now the Greek presidential election that may trigger a snap election early next year”.