USD/JPY twisting on the north side of 147.50, Japan CPI ticks lower to 3.2%

USD/JPY strung up the middle for Friday after Thursday's reversal flows.
Japan's National CPI headline figure came in slightly below previous print, inflation cools slightly.
The Core Japanese National CPI stayed on the higher end than markets expected, steady for the annualized period into August.

Joshua Gibson FXStreet

The USD/JPY is holding steady with a bullish lean for early Friday trading, teasing into the 147.650 region as the Japanese Yen (JPY) eases on softly-declining national inflation figures.

Markets initially expected national Consumer Price Index (CPI) figures for Japan to step back slightly, with the core CPI (inflation less food price changes) printing in line with the previous figure of 3.1%, beating the median forecast of a flat 3%.

Friday's economic calendar isn't finished with the USD/JPY yet, with the Bank of Japan (BoJ) expected to give their latest inflation rate call. The BoJ is broadly forecast to keep their negative rate regime steady at -0.1%, but abnormally hawkish comments from BoJ officials recently have ramped up expectations of a potential policy adjustment from Japan's central bank.

USD/JPY technical outlook

The USD/JPY pair is seeking higher territory early in Friday trading, probing for firmer ground above 147.50.

The pair got knocked off an up-and-down pattern through the midweek, peaking near 148.50 before checking the plumbing at 147.30.

The USD/JPY is now looking to stage a slow and steady recovery into the midrange after catching support from the 200-hour Simple Moving Average (SMA), and is facing descending technical resistance from the 100-hour SMA just north of 147.80.

On the daily charts, the USD/JPY is enjoying a consistent bullish trend, rising steadily from early 2023's lows near the 128.00 major handle, with prices seeing steady support from a bullish 34-day Exponential Moving Average (EMA) near 146.00.

USD/JPY hourly chart

USD/JPY technical levels

USD/JPY

Overview
Today last price	147.61
Today Daily Change	-0.74
Today Daily Change %	-0.50
Today daily open	148.35

Trends
Daily SMA20	147
Daily SMA50	144.35
Daily SMA100	142.17
Daily SMA200	137.53

Levels
Previous Daily High	148.36
Previous Daily Low	147.48
Previous Weekly High	147.95
Previous Weekly Low	145.9
Previous Monthly High	147.38
Previous Monthly Low	141.51
Daily Fibonacci 38.2%	148.02
Daily Fibonacci 61.8%	147.81
Daily Pivot Point S1	147.76
Daily Pivot Point S2	147.17
Daily Pivot Point S3	146.87
Daily Pivot Point R1	148.65
Daily Pivot Point R2	148.95
Daily Pivot Point R3	149.53

Author

Joshua Gibson

FXStreet

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

EUR/USD appears supported by the 200-day SMA, for now

Following an early pullback to multi-week lows near 1.1670, EUR/USD now manages to reclaim the 1.1700 region as the NA session draws to a close on Monday. The steep retracement in spot follows the equally strong move higher in the US Dollar, as investors continue to assess the geopolitical landscape in the wake of the US and Israel attacks on Iran.

GBP/USD hits new yearly lows near 1.3300

GBP/USD adds to the recent bearish tone, approaching to the key 1.3300 support to reach fresh YTD troughs against the backdrop of the robust performance of the US Dollar. Indeed, Cable’s decline comes amid the firm demand for the safe-haven space in the wake of the US and Israel attacks to Iran.

Gold eases some ground, approaches $5,300

Gold now surrenders part of the earlier advance, reshifting its attenton to the $5,300 zone per troy ounce at the beginning of the week. Indeed, the yellow metal’s firm performance appears propped up by incresing geopolitical jitters in the Middle East, which at the same time fuels the demand for the safe-haven space.