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1 Jun 2015
USD/JPY pares gains, muted near 124.15
FXStreet (Mumbai) - The US dollar erased gains and is seen trading muted versus the Japanese yen in the mid-Asian trades, with USD/JPY supported above 124 handle. The major retraced from close to twelve year highs and trades lifeless awaiting fresh cues from a batch of US economic releases due later in the day.
USD/JPY drops from 124.35
Currently, the USD/JPY pair trades flat at 124.15, having posted day’s high at 124.35 and day’s low at 124.11. The USD/JPY pair shaved-off gains and trades directionless, although the greenback remains supported on divergent monetary policy outlooks between the US and the Japan. The likelihood of rising US rates and the BOJ's ongoing ultraloose policy continued widening interest differentials between the dollar and the yen.
Later today, markets now shift their focus towards a slew US data including a set of manufacturing PMIs, Core PCE price index and personal spending, which may set the tone for rest of the week. While NFP scheduled for release on Friday is expected to remain the main market mover this week.
USD/JPY Technical Levels
To the upside, the next resistance is located at 124.47 (May 28 High) levels and above which it could extend gains 125 levels. To the downside immediate support might be located at 124 below that at 123.58 (May 29 Low) levels.
USD/JPY drops from 124.35
Currently, the USD/JPY pair trades flat at 124.15, having posted day’s high at 124.35 and day’s low at 124.11. The USD/JPY pair shaved-off gains and trades directionless, although the greenback remains supported on divergent monetary policy outlooks between the US and the Japan. The likelihood of rising US rates and the BOJ's ongoing ultraloose policy continued widening interest differentials between the dollar and the yen.
Later today, markets now shift their focus towards a slew US data including a set of manufacturing PMIs, Core PCE price index and personal spending, which may set the tone for rest of the week. While NFP scheduled for release on Friday is expected to remain the main market mover this week.
USD/JPY Technical Levels
To the upside, the next resistance is located at 124.47 (May 28 High) levels and above which it could extend gains 125 levels. To the downside immediate support might be located at 124 below that at 123.58 (May 29 Low) levels.