USD/JPY climbs to fresh daily highs above 108.70 on upbeat US data


  • US Pres. Trump says trade deal with China is "potentially very close."
  • Upbeat Manufacturing PMI and UoM Consumer Sentiment data boost USD.
  • US Dollar Index climbs to fresh weekly highs near 98.20.

After edging down to 108.50 area in the early trading hours of the American session, the USD/JPY pair reversed its direction and advanced to a fresh daily top of 108.73 but seems to be having a difficult time stretching higher as investors continue to react developments surrounding the United States (US)-China trade dispute.

Earlier in the day, US President Donald Trump said a trade deal with China was "potentially very close" to cause safe-haven assets such as the JPY to lose interest. The 10-year US Treasury bond yield, which lost as much as 2% earlier in the day, erased almost all of its losses on Trump's comment.

However, following a Reuters report suggesting that all five commissioners of the US Federal Communications Commission (FCC) will vote to bar Chinese telecommunication giant Huawei and ZTE from government subsidy programs, the 10-year US T-bond yield lost its traction and was last down 1% on the day, suggesting that risk sentiment has started to sour on this headline.

Reflecting the shift in the market mood, the USD/JPY pair turned flat on the day near 108.60 and is looking to close the second straight week in the negative territory.

USD strength helps pair stay above 108.50

On the other hand, the IHS Markit's Manufacturing Purchasing Managers' Index (PMI) rose to 52.2 in November's preliminary reading to surpass the market expectation of 51.5 and provided a boost to the greenback. Additionally, the University of Michigan's Consumer Sentiment Index improved to 96.8 in November to support the US Dollar Index, which was last up 0.25% on the day at 98.20.

Technical levels to watch for

USD/JPY

Overview
Today last price 108.64
Today Daily Change 0.02
Today Daily Change % 0.02
Today daily open 108.62
 
Trends
Daily SMA20 108.76
Daily SMA50 108.28
Daily SMA100 107.72
Daily SMA200 108.97
 
Levels
Previous Daily High 108.7
Previous Daily Low 108.28
Previous Weekly High 109.3
Previous Weekly Low 108.23
Previous Monthly High 109.29
Previous Monthly Low 106.48
Daily Fibonacci 38.2% 108.54
Daily Fibonacci 61.8% 108.44
Daily Pivot Point S1 108.37
Daily Pivot Point S2 108.11
Daily Pivot Point S3 107.94
Daily Pivot Point R1 108.79
Daily Pivot Point R2 108.96
Daily Pivot Point R3 109.21

 

 

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. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD rebounds after dismal US PMIs

EUR/USD is trading closer to 1.0850, rising in response to weak US PMIs, with the services one pointing to contraction. Earlier, German Manufacturing PMI beat estimates. 

EUR/USD News

GBP/USD advances to 1.2950 after US data

GBP/USD is trading around 1.2950, taking advantage of US weakness stemming from a downfall in Markit's Services PMI in the US. In Britain, the Manufacturing PMI exceeded estimates. 

GBP/USD News

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Consolidation process underway

The Crypto board continues to be immersed in an emotional leg-breaking, consistently punishing the emotional state of the traders with its continuous changes of direction.

Read more

XAU/USD unstoppable, breaks to fresh 2020 highs, approaching $1650/oz

XAU/USD is trading in an uptrend above its main daily simple moving averages (SMAs) while breaking above a bull channel. Gold is printing fresh 2020 highs hitting $1646.64 per ounce on an intraday basis.  

Gold News

FXStreet launches Real-Time Trading Signals

FXStreet Signals offers access to explanatory live webinars, real-time notifications when signals are triggered and exclusive membership to the company’s Telegram group, where users get direct guidance by our analysts and get room to discuss and interact.

More info

Forex MAJORS

Cryptocurrencies

Signatures