Back
29 Jul 2015
USD/JPY: Bulls fighting for control post Japan’s retail sales
FXStreet (Mumbai) - The US dollar remains better bid versus its Japanese counterpart in early moves, with USD/JPY heading towards previous highs, as the yen remains undermined despite the latest Japan’s retail sales figures coming in a touch better than market forecasts.
USD/JPY little changed post Japan’s data
Currently, the USD/JPY pair trades flat at 123.58, supported above key 123.50 levels. USD/JPY is seen struggling near the mid-point of the 123 handle at Tokyo open as bulls strive to keep the upper hand following the release of above estimates Japanese retail sales data.
Retail sales in the world's third-largest economy rose an annual 0.9% in June, beating expectations for a 0.5% rise but still slowing sharply from a 3% spike in May. The report comes after the government recently downgraded its forecasts for consumer prices.
On Tuesday, the buck ignored the sluggish consumer confidence data from the US, maintaining upbeat momentum versus the yen. The upcoming two-day Federal Open Market Committee meeting (FOMC) shifted more attention back to the greenback.
The market is likely to stay in waiting mode as the main focus remains on the FOMC meeting, which concludes on Wednesday. While pending home sales data from the US will be eyed until the FOMC decision.
USD/JPY Technical Levels
To the upside, the next resistance is located 123. 85 (July 26 High) levels and above which it could extend gains 124.12 (July 24 High) levels. To the downside immediate support might be located at 123.01 (July 27 Low) below that at 122.57 (July 3 Low) levels.
USD/JPY little changed post Japan’s data
Currently, the USD/JPY pair trades flat at 123.58, supported above key 123.50 levels. USD/JPY is seen struggling near the mid-point of the 123 handle at Tokyo open as bulls strive to keep the upper hand following the release of above estimates Japanese retail sales data.
Retail sales in the world's third-largest economy rose an annual 0.9% in June, beating expectations for a 0.5% rise but still slowing sharply from a 3% spike in May. The report comes after the government recently downgraded its forecasts for consumer prices.
On Tuesday, the buck ignored the sluggish consumer confidence data from the US, maintaining upbeat momentum versus the yen. The upcoming two-day Federal Open Market Committee meeting (FOMC) shifted more attention back to the greenback.
The market is likely to stay in waiting mode as the main focus remains on the FOMC meeting, which concludes on Wednesday. While pending home sales data from the US will be eyed until the FOMC decision.
USD/JPY Technical Levels
To the upside, the next resistance is located 123. 85 (July 26 High) levels and above which it could extend gains 124.12 (July 24 High) levels. To the downside immediate support might be located at 123.01 (July 27 Low) below that at 122.57 (July 3 Low) levels.