USD/JPY probes resistance at 104.94 as Japan's core CPI drops


  • USD/JPY faces rejection at key resistance at 104.94. 
  • Japan's core CPI dropped for the second consecutive month in September. 

USD/JPY tested former support-turned-hurdle at 104.94 (Oct. 2 low) a few minutes ago as Japan's consumer prices slipped for the second straight month in September. 

Core consumer prices, which exclude the effect of volatile fresh food and energy component, fell 0.3% year-on-year in September following August's 0.4% decline. The data showed the Japanese economy is facing coronavirus-induced deflationary pressure. 

As such, the Japanese yen came under pressure., pushing USD/JPY higher to 104.94. The resistance, however, has held intact, forcing the currency pair back to 104.80. 

The US 10-year yield clocked a four-month high of 0.87% in early Asia. The hardening of the yield is again failing to put a strong bid under the greenback. Analysts foresee a continued rise in yields on the back of the US fiscal largesse. 

The focus now shifts to the second and final US Presidential debate. "Democrat Presidential candidate Joe Biden is ahead in the polls and does not need an outright victory, but only needs to hold his own in the confrontation," FXStreet's Joseph Trevisani said.

Trevisani added that "unless there is a breakdown by either candidate or a first-order unusual event, markets are unlikely to take much notice, however, heated the rhetoric."

Technical levels

USD/JPY

Overview
Today last price 104.8
Today Daily Change -0.06
Today Daily Change % -0.06
Today daily open 104.86
 
Trends
Daily SMA20 105.47
Daily SMA50 105.65
Daily SMA100 106.25
Daily SMA200 107.28
 
Levels
Previous Daily High 104.92
Previous Daily Low 104.48
Previous Weekly High 105.8
Previous Weekly Low 105.04
Previous Monthly High 106.55
Previous Monthly Low 104
Daily Fibonacci 38.2% 104.75
Daily Fibonacci 61.8% 104.65
Daily Pivot Point S1 104.58
Daily Pivot Point S2 104.31
Daily Pivot Point S3 104.14
Daily Pivot Point R1 105.03
Daily Pivot Point R2 105.2
Daily Pivot Point R3 105.48

 

 

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


Latest Forex News

Editors’ Picks

AUD/USD sits at two-month highs near 0.7375

AUD/USD keeps its range near two-month highs of 0.7375 despite a big miss on the Australian Q3 Capex data. The bulls retain control as the US dollar remains on the back foot across the board, in the face of renewed US economic growth concerns. 

AUD/USD News

USD/JPY revisits Wednesday's low as weak US data keeps dollar under pressure

USD/JPY drops over 20 pips in Asia to test Wednesday's low. USD/JPY is feeling the pull of gravity with the dollar drawing offers, possibly on disappointing US data released Wednesday. Disappointing US jobs data and dovish Fed minutes weigh over the dollar.

USD/JPY News

Gold hovers within the range of Wednesday's Doji candle

Gold's daily chart shows signs of indecision in the market. Wed's high and low are levels to beat for bulls and bears, respectively. A Doji candle represents indecision in the market and makes the following day's close pivotal.

Gold news

Markets return to normal, and traders may be loving it

Calendar comeback – currencies begin moving to the tune of economic indicators, a welcome return for traders. Valeria Bednarik, Joseph Trevisani, and Yohay Elam discuss the latest market moves and what to expect in the final stretch of 2020 and beyond.

Read more

Black Friday 2020 Discounts!

Learn to trade with the best! Don't miss the most experienced traders and speakers in FXStreet Premium webinars. Also if you are a Premium member you can get real-time FXS Signals and receive daily market analysis with the best forex insights!

More info

Forex MAJORS

Cryptocurrencies

Signatures