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19 Mar 2014
USD/JPY rises through 102.50 propelled by the Fed
FXStreet (Córdoba) - The USD/JPY soared to fresh weekly highs after the Federal Reserve announced a further $10 billion cut to its QE program and dropped the 6.5% threshold on the unemployment rate at its latest statement.
Meanwhile, Federal Reserve Chair Yellen said in a press conference QE would be finished by fall and that there is still a lot to do regarding jobs and inflation. She lso said that despite the unemployment rate is a good indicator, it may not be effective enough and that is why further information is needed.
The USD/JPY gained more than 100 pips within the last minutes and climbed to a high of 102.48 as the greenback strengthened broadly on the Fed's forward guidance shift. At time of writing, the pair is trading at the 102.50 zone, recording a 1.0% gain on the day.
USD/JPY technical levels
In terms of technical levels, the USD/JPY could find immediate resistances at 102.85 (Mar 13 high), 103.00 (psychological level) and 103.42 (Mar 3 high). On the other hand, supports are seen at 101.29 (Mar 19 low), 101.20 (Mar 14 low) and 102.00 (psychological level).
Meanwhile, Federal Reserve Chair Yellen said in a press conference QE would be finished by fall and that there is still a lot to do regarding jobs and inflation. She lso said that despite the unemployment rate is a good indicator, it may not be effective enough and that is why further information is needed.
The USD/JPY gained more than 100 pips within the last minutes and climbed to a high of 102.48 as the greenback strengthened broadly on the Fed's forward guidance shift. At time of writing, the pair is trading at the 102.50 zone, recording a 1.0% gain on the day.
USD/JPY technical levels
In terms of technical levels, the USD/JPY could find immediate resistances at 102.85 (Mar 13 high), 103.00 (psychological level) and 103.42 (Mar 3 high). On the other hand, supports are seen at 101.29 (Mar 19 low), 101.20 (Mar 14 low) and 102.00 (psychological level).