USD/JPY continues to hold above 109 as focus shifts to US data dump

Wall Street's main indexes look to open modestly higher on Wednesday.
US Dollar Index struggles to find direction for third straight day.
Upcoming US data: Q3 GDP, inflation, Durable Goods Orders, Pending Home Sales.

Eren Sengezer FXStreet

The USD/JPY pair continues to move sideways above the 109 handle after closing the previous two days with modest losses as the trading action remains subdued ahead of critical macroeconomic data releases from the US. As of writing, the pair was up 0.11% on a daily basis at 109.15.

Although the latest data published by China’s National Bureau of Statistics (NBS) showed that profits earnt by China’s industrial firms in October plunged by 9.9% on a yearly basis, the market sentiment remained positive during the first half of the day amid heightened hopes of the US and China concluding the phase one of the trade deal and avoiding the December tariff hike.

Nevertheless, the 10-year US Treasury bond yield is now flat on the day and US stocks futures post small daily gains to point to a neutral market sentiment ahead of the American session.

Eyes on US data

Due to the upcoming Thanksgiving holiday, all the remaining macroeconomic data releases of the week from the US will be published on Wednesday.

The US Bureau of Economic Analysis will release its second estimate of the third-quarter Gross Domestic Product (GDP) data alongside Personal Income, Personal Spending and the Personal Consumption Expenditures (PCE) Price Index, the Federal Reserve's preferred measure of inflation. Other data from the US will include weekly Initial Jobless Claims, Durable Goods Orders and Pending Home Sales. Ahead of the data dump, the US Dollar Index is up 0.07% on the day at 98.32.

Technical levels to watch for

USD/JPY

Overview
Today last price	109.13
Today Daily Change	0.09
Today Daily Change %	0.08
Today daily open	109.04

Trends
Daily SMA20	108.77
Daily SMA50	108.33
Daily SMA100	107.73
Daily SMA200	108.94

Levels
Previous Daily High	109.21
Previous Daily Low	108.87
Previous Weekly High	109.08
Previous Weekly Low	108.28
Previous Monthly High	109.29
Previous Monthly Low	106.48
Daily Fibonacci 38.2%	109.08
Daily Fibonacci 61.8%	109
Daily Pivot Point S1	108.87
Daily Pivot Point S2	108.7
Daily Pivot Point S3	108.53
Daily Pivot Point R1	109.21
Daily Pivot Point R2	109.38
Daily Pivot Point R3	109.55

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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