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26 Jan 2015
USD/JPY rejected at 5-DMA
FXStreet (Mumbai) - The Japanese yen remained elevated against the US dollar in the Asian morning after better-than forecast trade data and risk-off moods underpinned the yen.
Currently, the USD/JPY pair trades at 117.62, lower by -0.15% on the day, having previously hit day’s low at 117.38 and day’s high at 117.83 levels. The yen gained versus the USD after Japan's December trade balance showed a shrinking deficit of 660.7 bn yen, beating expectations of 740 bn yen expected, compared to the 829 bn yen deficit seen in November. The pair gained further strength after the Bank of Japan’s (BOJ) recently held meeting minutes revealed that the Central Bank was in no hurry to roll out additional monetary easing and that the country’s inflation is likely to slow for the time-being.
Meanwhile, the pair is expected to be supported on safe-haven bids in absence of any economic releases for rest of the day.
USD/JPY Technical Levels
To the upside, the next resistance is located at 117.85 (5-DMA) levels and above which it could extend gains 118.03 levels. To the downside immediate support might be located at 117.27 (Jan 25 High) levels, below that at 117 levels.
Currently, the USD/JPY pair trades at 117.62, lower by -0.15% on the day, having previously hit day’s low at 117.38 and day’s high at 117.83 levels. The yen gained versus the USD after Japan's December trade balance showed a shrinking deficit of 660.7 bn yen, beating expectations of 740 bn yen expected, compared to the 829 bn yen deficit seen in November. The pair gained further strength after the Bank of Japan’s (BOJ) recently held meeting minutes revealed that the Central Bank was in no hurry to roll out additional monetary easing and that the country’s inflation is likely to slow for the time-being.
Meanwhile, the pair is expected to be supported on safe-haven bids in absence of any economic releases for rest of the day.
USD/JPY Technical Levels
To the upside, the next resistance is located at 117.85 (5-DMA) levels and above which it could extend gains 118.03 levels. To the downside immediate support might be located at 117.27 (Jan 25 High) levels, below that at 117 levels.