USD/JPY Current price: 106.85
- Yen benefits from easing yields, broad dollar's weakness.
- National Japanese inflation to be released during the upcoming Asian session.
The USD/JPY pair fell 106.64, trimming most of the last two days' gains, settling later on the day around 106.85. The Japanese yen benefited from broad dollar's weakness, this last, triggered by a sharp recovery in US indexes, and a modest pullback in US Treasury yields from the fresh 4-year highs reached late Wednesday. The 10-year note yield hovered around 2.91% for most of the day, after peaking at 2.96% in the previous one, on speculation that the US Federal Reserve may have to accelerate its pace of rate hikes. Japan will unveil its National yearly inflation during the upcoming Asian session, seen at 1.3% vs. the previous 1.0%, although the core reading is forecasted to come at 0.8% from a previous 0.9%. The pair is bearish according to technical readings in the 4 hours chart, as technical indicators extended their declines to enter negative territory, while the pair continues developing well below its moving averages. Now struggling with a Fibonacci support, the pair will have more chances of extending its decline towards its recent lows sub-106.00 on a break below the mentioned daily low.
Support levels: 106.65 106.20 105.70
Resistance levels: 107.20 107.60 107.95
View Live Chart for the USD/JPY
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