USD/JPY displays inventory distribution around 135.00 as investors await US CPI


  • USD/JPY is gearing up for a fresh bullish impulsive wave despite lower consensus for US CPI.
  • The outstanding US NFP has infused fresh blood in Fed policymakers’ confidence.
  • BOJ’s ultra-loose monetary policy will keep the yen bulls on a bumpy ride.

The USD/JPY pair has turned sideways in the Asian session following the footprints of the US dollar index (DXY). On a broader note, the asset is displaying back and forth moves after a juggernaut rebound from 133.00 on Friday.

The greenback bulls were driving the asset higher like there is no tomorrow after the release of the bumper US employment data. The US Nonfarm Payrolls (NFP) landed at 528k, significantly higher than the expectations of 250k and the prior release of 372k. Despite the headwinds of a halt in the recruitment process by US corporate and lower investments due to rising interest rates by the Federal Reserve (Fed), the employment data has remained upbeat and may support the Fed.

Now, the entire focus is shifting toward the US Consumer Price Index (CPI) data, which will release on Friday. A downside print is expected to be 8.7% from the former release of 9.1% on an annual basis. The US households were facing severe pressure from the higher price rise index. Thanks to the weaker oil prices in July, which is resulting in a steep fall in the US inflation data. However, this may not trim the extent of policy tightening measures by the Fed in September.

On the Tokyo front, the continuation of an ultra-loose monetary policy by the Bank of Japan (BOJ) will keep haunting the yen bulls. The BOJ is committed to spurting the growth rate and lifting that to the pre-pandemic levels as early as possible. Therefore, it is critical to pump much liquidity into the economy so that the investments could ramp up the wage price index and the inflation will remain above 2%.

USD/JPY

Overview
Today last price 135.31
Today Daily Change 0.00
Today Daily Change % 0.00
Today daily open 135.31
 
Trends
Daily SMA20 136.08
Daily SMA50 134.88
Daily SMA100 130.72
Daily SMA200 122.76
 
Levels
Previous Daily High 135.5
Previous Daily Low 132.52
Previous Weekly High 135.5
Previous Weekly Low 130.4
Previous Monthly High 139.39
Previous Monthly Low 132.5
Daily Fibonacci 38.2% 134.36
Daily Fibonacci 61.8% 133.66
Daily Pivot Point S1 133.38
Daily Pivot Point S2 131.46
Daily Pivot Point S3 130.4
Daily Pivot Point R1 136.37
Daily Pivot Point R2 137.43
Daily Pivot Point R3 139.35

 

 

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news Join Telegram

Recommended content


Recommended content

Editors’ Picks

EUR/USD stays below 0.9800 after US inflation data

EUR/USD stays below 0.9800 after US inflation data

EUR/USD continues to trade in negative territory below 0.9800 in the American session on Friday. The data from the US showed that the annual PCE inflation declined to 6.2% in August but the stronger-than-expected core reading didn't allow the pair to gain traction.

EUR/USD News

GBP/USD rebounds from daily lows, reclaims 1.1100

GBP/USD rebounds from daily lows, reclaims 1.1100

GBP/USD fell to a fresh daily low below 1.1030 but managed to reverse its direction and climbed above 1.1100 during the American trading hours on Friday. The pair remains on track to snap a two-week losing streak despite having suffered heavy losses earlier in the week.

GBP/USD News

Gold extends daily rally beyond $1,670

Gold extends daily rally beyond $1,670

Gold preserved its bullish momentum and rose above $1,670 after the mixed inflation data from the US on Friday. The benchmark 10-year yield is down more than 2% as markets look to wrap up the third quarter, fueling XAU/USD's daily rally. 

Gold News

Shiba Eternity download day the biggest bullish catalyst in SHIB history?

Shiba Eternity download day the biggest bullish catalyst in SHIB history?

Shytoshi Kusama, the project lead for Shiba Inu, has dropped a teaser about Shiba Eternity games for the SHIB community. Proponents expect the launch of the collectible card game to be a bullish catalyst for Shiba Inu price. 

Read more

SPDR S&P 500 ETF Trust (SPY) Forecast: We are teetering on the brink

SPDR S&P 500 ETF Trust (SPY) Forecast: We are teetering on the brink

Equity markets remain at the precipice of a technical collapse, which we examine in the weekly long-term chart below. The overall picture remains one of nervousness ahead of the upcoming Q3 earnings season.

Read more

Forex MAJORS

Cryptocurrencies

Signatures