USD/JPY clings to modest recovery gains, around mid-108.00s

  • US-China trade deal hopes helped regain some traction on Friday.
  • The technical set-up might have shifted in favour of bearish traders.
  • Investors look forward to the US macro data for a fresh impetus.

The USD/JPY pair regained some positive traction on Friday and recovered a part of the previous session's downfall to 1-1/2 week lows.
The pair stalled its recent pullback from multi-month lows, around mid-109.00s, and managed to attract some buying interest on the last trading day of the week amid receding demand for traditional safe-haven currencies – including the Japanese Yen.

Focus remains on trade developments

The overnight comments by the White House economic adviser Larry Kudlow, saying that there has been “very good progress,” and that a US-China trade agreement was close, revived hopes of an imminent US-China trade deal and boosted the global risk sentiment.
The risk-on mood was further evident from a strong pickup in the US Treasury bond yields, which extended some support to the US Dollar and further collaborated to the pair's positive move for the first day in the past six trading session, back above mid-108.00s.
From a technical perspective, the pair on Thursday failed to defend a support marked by 2-1/2-month-old ascending trend-line. Hence, it remains to be seen if the pair is able to capitalize on the momentum or meets with some fresh supply at higher levels.
Moving ahead, Friday's US economic docket – highlighting the release of monthly retail sales and some second-tier manufacturing data – might influence the USD price dynamics and produce some short-term trading opportunities later during the early North-American session.

Technical levels to watch


Today last price 108.54
Today Daily Change 0.11
Today Daily Change % 0.10
Today daily open 108.43
Daily SMA20 108.74
Daily SMA50 108.17
Daily SMA100 107.69
Daily SMA200 109.01
Previous Daily High 108.86
Previous Daily Low 108.23
Previous Weekly High 109.49
Previous Weekly Low 108.1
Previous Monthly High 109.29
Previous Monthly Low 106.48
Daily Fibonacci 38.2% 108.48
Daily Fibonacci 61.8% 108.62
Daily Pivot Point S1 108.16
Daily Pivot Point S2 107.88
Daily Pivot Point S3 107.53
Daily Pivot Point R1 108.79
Daily Pivot Point R2 109.14
Daily Pivot Point R3 109.42



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 News

Editors’ Picks

EUR/USD turns down as Trump touts trade hopes, after Lagarde's debut

EUR/USD is trading below 1.1130 after President Trump tweeted that the US is getting close to deal with China. Earlier, the ECB left rates unchanged and President Lagarde acknowledged the recent upturn.


GBP/USD retreats further from nine-month highs, nears 1.3100

GBP/USD has extended its decline amid renewed EUR demand within ECB’s monetary policy announcement. UK elections weigh as polls show a further narrowing in Conservatives’ advantage.


“Brexit as last” will trigger a relief rally even if there is a hung Parliament

Conventional wisdom has it we get a sterling rally if he wins and gets a ruling majority, while getting a hung Parliament means a drop in the pound.

Read more

Gold volatile after ECB, Trump's comments

It has been a rollercoaster day for gold so far on Thursday as the precious metal advanced 1% during the London session, only to give up all the gains and turn to sharp losses later in the day.

Read more

USD/JPY: Greenback jumps to four-day highs as trade tension ease

USD/JPY broke above the 109.00 handle as Trump is upbeat on the trade deal. Resistance is seen at the 109.26 and 109.43 price levels.