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5 Feb 2015
USD/JPY advances to 117.50
FXStreet (Edinburgh) - USD/JPY keeps the trade within a 50-pip range on Thursday against a backdrop of increasing cautiousness ahead of the US releases tomorrow.
USD/JPY eyes on Payrolls
The pair has been trading in a consolidative pattern since mid-January, looking for a strong catalyst to break the formation in either direction. Poor US data as of late casted a mantle of doubt regarding the timing of the first rate hike by the Fed. Despite there are no doubts about the solid pace of the US recovery, renewed market rumours now place the start of the hiking cycle in September rather than in June.
Next of significance in Japan will be the Leading Economic Index and the Coincident Index, both due tomorrow and preceding the more relevant US Payrolls during January (234K exp.).
USD/JPY levels to watch
The pair is now up 0.20% at 117.54 with the immediate hurdle at 118.00 (high Feb.4) followed by 118.30 (Kijun Sen) and then 118.47 (high Jan.30). On the flip side, a breakdown of 116.87 (low Feb.3 would aim for 116.64 (low Feb.2) and finally 115.85 (2015 low Jan.14).
USD/JPY eyes on Payrolls
The pair has been trading in a consolidative pattern since mid-January, looking for a strong catalyst to break the formation in either direction. Poor US data as of late casted a mantle of doubt regarding the timing of the first rate hike by the Fed. Despite there are no doubts about the solid pace of the US recovery, renewed market rumours now place the start of the hiking cycle in September rather than in June.
Next of significance in Japan will be the Leading Economic Index and the Coincident Index, both due tomorrow and preceding the more relevant US Payrolls during January (234K exp.).
USD/JPY levels to watch
The pair is now up 0.20% at 117.54 with the immediate hurdle at 118.00 (high Feb.4) followed by 118.30 (Kijun Sen) and then 118.47 (high Jan.30). On the flip side, a breakdown of 116.87 (low Feb.3 would aim for 116.64 (low Feb.2) and finally 115.85 (2015 low Jan.14).