USD/JPY remains strong near 113.70 amid firmer USD

USD/JPY accumulates gains on Tuesday in the initial Asian session.
The US dollar holds above 93.80 despite slightly weaker US T-bond yields.
Yellen's comments on inflation, higher equity market, and Fed tapering influences traders' decisions .

Rekha Chauhan Independent Analyst

USD/JPY makes steady moves following the previous session’s movement. The pair retreated from the highs of 2018 high near 114.69 on Wednesday, and continued to move in a familiar trading range. At the time of writing USD/JPY is trading at 113.72, up 0.02% so far.

The US benchmark 10-year T bond yields trades lower at 1.63% which undemins the demand for the greenback. The yields took a tour to the south following US Treasury Secretary Janet Yellen remarks on inflation where she expected US inflation to return to normal by the second half of 2022.

In addition to that, US House Speaker Nancy Pelosi remained hopeful to pass an infrastructure bill and have a deal on the social policy bill by the end of the week. US Senator Joe Manchin also said that a deal on the outlines of the plan is within reach this week.

On the other hand the Japanese yen lost its ground on improved risk appetite among investors. It is worth noting that, S&P 500 Futures are trading at 4,563,up 0.11% so far.

As for now traders are waiting for the US Housing Price Index, S&P/Case-Shiller Home Price indices, and US Consumer Confidence to gauge the market sentiment.

USD/JPY additional levels

USD/JPY

Overview
Today last price	113.72
Today Daily Change	0.20
Today Daily Change %	0.18
Today daily open	113.52

Trends
Daily SMA20	112.65
Daily SMA50	110.96
Daily SMA100	110.57
Daily SMA200	109.17

Levels
Previous Daily High	114.21
Previous Daily Low	113.41
Previous Weekly High	114.7
Previous Weekly Low	113.41
Previous Monthly High	112.08
Previous Monthly Low	109.11
Daily Fibonacci 38.2%	113.72
Daily Fibonacci 61.8%	113.9
Daily Pivot Point S1	113.22
Daily Pivot Point S2	112.92
Daily Pivot Point S3	112.43
Daily Pivot Point R1	114.02
Daily Pivot Point R2	114.51
Daily Pivot Point R3	114.81

Author

Rekha Chauhan

Independent Analyst

Rekha Chauhan has been working as a content writer and research analyst in the forex and equity market domain for over two years.

EUR/USD looks weak below 1.1800

EUR/USD has slipped back under pressure, breaking through the 1.1800 support and drifting towards the weekly lows near 1.1770 ahead of the opening bell in Asia. The move reflects renewed strength in the US Dollar, with steady geopolitical tensions keeping its demand firm. Moving forward, the release of the German labour market report and flash inflation figures should keep European investors entertained on Friday.

GBP/USD threatens the 200-day SMA near 1.3440

GBP/USD rapidly leaves behind Wednesday’s strong advance, coming under heavy pressure and retesting the 1.3440 zone, where the critical 200-day SMA is located. Cable’s deep pullback follows the strong gains in the Greenback, while investors continue to pencil in a potential BoE rate cut in March.

Gold trims gains, slips back to around $5,170

Gold is now facing some downside pressure, hovering around the $5,170 region on Thursday. The yellow metal surrenders part of its earlier gains on the back of the resurgence of the buying interest in the Greenback. In the meantime, geopolitical tensions in the Middle East continue to limit the downside potential for now.