USDJPY Movement
For the 24 hours to 23:00 GMT, the USD rose 0.13% against the JPY and closed at 113.71.
In the Asian session, at GMT0400, the pair is trading at 113.64, with the USD trading 0.06% lower from yesterday’s close.
Earlier today, the BoJ Governor, Haruhiko Kuroda, ruled out the possibility of further interest rate cuts into negative territory at this point. He also reiterated that the central bank is closely monitoring global risks, and won’t hesitate to take necessary actions to achieve the inflation target.
In other economic news, data indicated that Japan’s labour cash earnings rose by 0.4% YoY in January, in line with market expectations, compared to a revised flat reading in the preceding month.
The pair is expected to find support at 113.16, and a fall through could take it to the next support level of 112.68. The pair is expected to find its first resistance at 114.20, and a rise through could take it to the next resistance level of 114.76.
Going forward, Japan’s Q4 GDP, consumer confidence index and trade balance data, all slated to release next week, would garner a lot of market attention.
The currency pair is showing convergence with its 20 Hr moving average and trading below its 50 Hr moving average.