USD/JPY Current Price: 107.66
- US Treasury yields fell to multi-week lows amid soaring unemployment claims in the country.
- Japan to release data from February, anyway expected to show signs of contraction.
- USD/JPY short-term neutral, bearish case firmer only once below 106.95.
The USD/JPY has advanced early Thursday but spent most of the last daily session hovering around the 107.60 price zone. Renewed demand for the greenback resulted in USD/JPY reaching a daily high fo 108.07 during the European session. Wall Street managed to recover some ground, but the indexes traded mixed. Meanwhile, US Treasury yields extended their slump, capping advances during the American afternoon. The yield on the benchmark 10-year Treasury note fell to 0.59% after the US reported 5.2 million Americans filed for unemployment benefits.
Japan will release this Friday, February Industrial Production, seen up by 0.4% monthly basis. Capacity Utilization in the same month is seen down by 0.8%. The country will also publish the Tertiary Industry Index, seen down by 0.5% in the month.
USD/JPY short-term technical outlook
The USD/JPY pair has turned neutral in the short-term as its stuck around a Fibonacci level, the 38.2% retracement of its latest daily advance. In the 4-hour chart, technical indicators hover directionless around their midlines, while moving averages turned marginally lower, with the price stuck around its 20 and 200 SMA. Bears could take over the pair on a break below 106.95, where the pair bottomed this week.
Support levels: 107.30 106.95 106.50
Resistance levels: 108.10 108.50 108.85
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
AUD/USD consolidates near multi-week low as traders await US CPI
AUD/USD languishes near a multi-week low, around mid-0.6600s, during the Asian session on Wednesday as traders opt to wait on the sidelines ahead of the crucial US consumer inflation figures. In the meantime, the divergent Fed-RBA policy expectations assist spot prices to defend the 100-day SMA support amid subdued USD demand.
USD/JPY recovers few pips from 142.00 mark, looks to US CPI for fresh impetus
USD/JPY drifts lower for the second straight day and slides back closer to a one-month low. The divergent BoJ-Fed policy expectations turn out to be a key factor exerting some pressure. Traders seem reluctant to place aggressive bets ahead of the release of the key US CPI report.
Gold sits near the weekly top; awaits US CPI before the next leg up
Gold price is consolidating its weekly gains as traders await the release of the US CPI figures for cues about the Fed's rate-cut path. Heading into the crucial data risk, the prospects for an imminent start of the Fed's policy-easing cycle, subdued USD demand and the cautious market mood should continue to act as a tailwind for the XAU/USD.
Solana could rally as Breakpoint conference approaches
Solana is up 0.5% on Tuesday, following significant growth in its network daily active addresses. Investors anticipate a potential rally as the Solana Breakpoint conference approaches.
Five Fundamentals for the week: Jittery markets fear the ECB, US inflation and more Premium
Is there still a chance? Investors hope for a 50-bps rate cut from the Fed but also fear a global recession is underway. The world's three largest economies, the US, China, and the eurozone, are set to rock global markets.
Moneta Markets review 2024: All you need to know
VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.