Since the end of last week, the USD is falling amid the stock markets troubles. The yen, at the same time, serves as the safe-haven currency as investors are quitting from risky assets.
Today, strong data on the Leading Economic Index came out in Japan. The demand for the USD significantly fell but it is very likely that the trend can reverse after strong figures on key economic indices come out in the US and the Fed tightens monetary policy.
This week pay attention to the GDP and labor-market data from the US. The forecasts predict a higher growth in the second quarter. Toward the end of the week, Retail Sales and Unemployment data are due from Japan.
A new ascending wave can be expected towards the key resistance levels of 122.10, 123.75, 125.50.
- Support levels: 120.10, 119.80, 119.40, 119.10, 118.60, 118.00, 117.10, 116.50.
- Resistance levels: 120.40, 120.75, 121.30, 121.80, 122.10, 122.50, 123.00, 123.75, 124.10, 125.50.