USD/JPY Current price: 111.89

  • BOJ to meet this week, no surprises expected there.
  • Quiet start to the week with only Japan's markets opened in Asia.

The USD/JPY pair closed this last week as it started, flat at 111.90 having spent these last days confined to a measly 50 pips' range. The pair followed the lead of equities and yields, which saw little action these last few days. US indexes managed to recover by the end of the week, ending it little changed, while US Treasury yields trimmed gains ahead of the weekly close, moving lower Thursday on the back of strong US Retail Sales indicating solid consumption in the country. The yield on the benchmark 10-year note settled at 2.56%. Last Friday, the BOJ  announced that it cut its purchases of bonds with maturities between 10 and 25 years by ¥20 billion to ¥160 billion, although policymakers repeated that is part of their strategy of keeping bonds´ rates close to zero. The Japanese macroeconomic calendar will remain scarce until next Wednesday, while the BOJ will have a monetary policy meeting on Thursday.

Despite the lack of progress, the pair remains near its yearly high, having hit 112.16 mid-last week on broad dollar's demand. The bullish case in the daily chart would be clearer on a sustainable advance beyond the mentioned level, as the pair is above all of its moving averages which anyway remained confined to a tight range, while technical indicators hold within positive ground, the Momentum easing amid the lack of progress, but the RSI steady at around 58. In the 4 hours chart, the pair is neutral, as a flat 20 SMA is limiting the upside at around 112, still holding above the larger moving averages, while technical head nowhere around their midlines.

Support levels: 111.75 111.40 111.10  

Resistance levels: 112.15 112.50 112.85

View Live Chart for the USD/JPY

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Feed news

Latest Forex Analysis

Editors’ Picks

EUR/USD holds its ground amid mixed EU election results

EUR/USD is stable around 1.1200 amid mixed EU elections in which main parties lost ground to both centrist and extreme ones.  Trump said he hopes for a deal with China. Liquidity is thin due to a UK holiday.


GBP/USD ticks up as Brexit and Remain parties are balanced

GBP/USD is trading around 1.2750, recovering. Farage's Brexit party won the EU elections but a trio of Remain parties matched him. Uncertainty remains high after PM May's resignation announcement.


USD/JPY keeps gains near 109.50 amid light trading

The USD/JPY pair is on the bids near 109.50 ahead of Europe open on Monday. The 110.55/60 resistance-confluence including 100-day simple moving average (SMA) and 23.6% Fibonacci retracement of January to April rise acts as strong upside cap.


The Evolution of Three Issues are Key in the Week Ahead

As May winds down, the light economic calendar will allow investors to take their cues from the evolution of three disruptive forces--trade, Brexit and the US economy.  With actions against Huawei and possibly a handful of Chinese surveillance equipment producers, the US raised the stakes.

Read more

Gold aims to revisit $1289/90 despite UK/US holiday

With the pessimism surrounding global trade developments and greenback weakness joining EU election results, Gold prices are on the bids near $1287.30 while heading into the European session on Monday.

Gold News