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19 Feb 2014
USD/JPY isn’t taking no for an answer
FXStreet (Guatemala) - USD/JPY has managed to inch higher as bulls are reluctant to see its fate through 102.00 just yet as the pair struggled with the top end of the handle.
USD/JPY has dropped from the highs but is being supported in the 102.20’s and is attempting 102.40 currently. Today from the US, numbers disappointed in the NAHB housing reading of 46 vs the 56 consensus and previous 56. This is indicating the housing market trend in the US has taken a turn. And then we have conflicting reactions as we are reminded of action from yesterdays BoJ that has ricochet through European and US markets. Analysts at TD Securities explained that the BoJ policy meeting ended with policy makers sticking with the current asset purchase plan whilst doubling the scale of a low-interest loan programme to banks to total JPY 7 tn. “The decision came after yesterday’s disappointing GDP data (0.3% q/q versus 0.7% expected). The dovish move underscores the potential for even more stimulus measures later this year if the economy stumbles after the implementation of the sales tax increase in April”.
USD/JPY Levels
The 20 DMA is 102.43, the 50 DMA is 103.44 and the 200 DMA is 100.19. RSI (14) reads 55.79. Supports are ascending from 101.38, 101.53, 101.76, 102.18. Spot is 102.33 while resistances are 102.94, 103.10, 103.45 and 103.58.
USD/JPY has dropped from the highs but is being supported in the 102.20’s and is attempting 102.40 currently. Today from the US, numbers disappointed in the NAHB housing reading of 46 vs the 56 consensus and previous 56. This is indicating the housing market trend in the US has taken a turn. And then we have conflicting reactions as we are reminded of action from yesterdays BoJ that has ricochet through European and US markets. Analysts at TD Securities explained that the BoJ policy meeting ended with policy makers sticking with the current asset purchase plan whilst doubling the scale of a low-interest loan programme to banks to total JPY 7 tn. “The decision came after yesterday’s disappointing GDP data (0.3% q/q versus 0.7% expected). The dovish move underscores the potential for even more stimulus measures later this year if the economy stumbles after the implementation of the sales tax increase in April”.
USD/JPY Levels
The 20 DMA is 102.43, the 50 DMA is 103.44 and the 200 DMA is 100.19. RSI (14) reads 55.79. Supports are ascending from 101.38, 101.53, 101.76, 102.18. Spot is 102.33 while resistances are 102.94, 103.10, 103.45 and 103.58.