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16 Mar 2015
USD/JPY steadies below 121.50 ahead of BOJ
FXStreet (Mumbai) - USD/JPY continues to consolidate below 121.50 resistance in the Asian session, extending its side trend from the last week as markets remain cautious ahead of Bank of Japan’s (BOJ) monetary policy decision tomorrow and Wednesday’s FOMC statement.
USD/JPY stuck at 5-DMA
Currently, the USD/JPY trades flat at 121.34 levels, in a tight range holding on to 121 handle. USD/JPY stands resilient despite broad based US dollar weakness after rallying to fresh twelve year top in the previous session. The US dollar index which measures the relative strength of the greenback against a basket of six major currencies declines to 100.46 levels, recording a -0.25% loss on the day.
The yen is expected to trade cautiously against the US dollar as markets closely eye BOJ statement tomorrow as policymakers await the outcome of spring wage negotiations for signs of how inflation expectations are faring.
Meanwhile, traders await key economic releases in the US due later in the day for major impact on the pair.
USD/JPY Technical Levels
To the upside, the next resistance is located at 121.45 (March 13 High)) levels and above which it could extend gains 122.03 (March 10 High) levels. To the downside immediate support might be located at 121 levels, below that at 120.24 (20-DMA) levels.
USD/JPY stuck at 5-DMA
Currently, the USD/JPY trades flat at 121.34 levels, in a tight range holding on to 121 handle. USD/JPY stands resilient despite broad based US dollar weakness after rallying to fresh twelve year top in the previous session. The US dollar index which measures the relative strength of the greenback against a basket of six major currencies declines to 100.46 levels, recording a -0.25% loss on the day.
The yen is expected to trade cautiously against the US dollar as markets closely eye BOJ statement tomorrow as policymakers await the outcome of spring wage negotiations for signs of how inflation expectations are faring.
Meanwhile, traders await key economic releases in the US due later in the day for major impact on the pair.
USD/JPY Technical Levels
To the upside, the next resistance is located at 121.45 (March 13 High)) levels and above which it could extend gains 122.03 (March 10 High) levels. To the downside immediate support might be located at 121 levels, below that at 120.24 (20-DMA) levels.