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14 May 2015
USD/JPY capped by 100-DMA
FXStreet (Mumbai) - The US dollar reversed losses and turned in green against the Japanese yen in the mid-Asian session, with USD/JPY struggling below 100-DMA, as a rebound seen in the US treasury yields following yesterday’s slumps keeps the major supported.
USD/JPY supported at 119
Currently, the USD/JPY pair trades flat at 119.23, consolidating previous sharp losses. USD/JPY oscillates in a 20-pips slim range, correcting heavy losses seen in the previous session after poor retail sales data from the US raised concerns over America's economic recovery and the Fed's rate hike outlook, weighing on the US dollar against all major peers, including the Japanese yen.
Moreover, a recovery seen in the US treasury yields, both shorter duration and longer duration, supports the USD/JPY pair at the moment. The 10-yr and 2-yr yields on T-notes stand at 2.288% and 0.580%, each gaining over 0.50% on the day.
On the macroeconomic front, there is limited data on the cards with US PPI and unemployment claims later in the US session, which may direct further moves on the major.
USD/JPY Technical Levels
To the upside, the next resistance is located at 119.40 (100-DMA) levels and above which it could extend gains 119.63 (50-DMA) levels. To the downside immediate support might be located at119 below that at 118.80 (April 24 Low) levels.
USD/JPY supported at 119
Currently, the USD/JPY pair trades flat at 119.23, consolidating previous sharp losses. USD/JPY oscillates in a 20-pips slim range, correcting heavy losses seen in the previous session after poor retail sales data from the US raised concerns over America's economic recovery and the Fed's rate hike outlook, weighing on the US dollar against all major peers, including the Japanese yen.
Moreover, a recovery seen in the US treasury yields, both shorter duration and longer duration, supports the USD/JPY pair at the moment. The 10-yr and 2-yr yields on T-notes stand at 2.288% and 0.580%, each gaining over 0.50% on the day.
On the macroeconomic front, there is limited data on the cards with US PPI and unemployment claims later in the US session, which may direct further moves on the major.
USD/JPY Technical Levels
To the upside, the next resistance is located at 119.40 (100-DMA) levels and above which it could extend gains 119.63 (50-DMA) levels. To the downside immediate support might be located at119 below that at 118.80 (April 24 Low) levels.