FXstreet.com (Barcelona) - In early Monday trading, the market rallied to a new high, at 81.59, as it climbs the chart ahead of tomorrow's BoJ monetary policy meeting. After the Dec-16 elections, the BoJ could be ruled by new laws and more agressive policies could be made as well.
After the 81.59 high, the USD/JPY eased back to Thursday's closing price for a test, but is now already above Friday's close, at 81.33. Japan's Leading Economic Index eased from 93.2 to 91.6 in September, and the Coincident Index fell from 93.5 to 91.5. Machine Tool Orders dropped further in October, from -2.8% to -6.7%.
“Good support is seen at 80.68/63. This is where the June and early November highs were made and where the 50% retracement also comes in”; wrote analyst Axel Rudolph, pointing stronger support at 80.00/79.40 (psychological support and the location of the short term uptrend line).
After the 81.59 high, the USD/JPY eased back to Thursday's closing price for a test, but is now already above Friday's close, at 81.33. Japan's Leading Economic Index eased from 93.2 to 91.6 in September, and the Coincident Index fell from 93.5 to 91.5. Machine Tool Orders dropped further in October, from -2.8% to -6.7%.
“Good support is seen at 80.68/63. This is where the June and early November highs were made and where the 50% retracement also comes in”; wrote analyst Axel Rudolph, pointing stronger support at 80.00/79.40 (psychological support and the location of the short term uptrend line).
