USD/JPY treading water around 113.40

  • Spot stays sidelined so far today around 113.40.
  • US 10-year yields hovering over daily highs near 2.38%.
  • Flash US consumer sentiment next on tap.

The greenback is trading almost unchanged vs. the Japanese safe haven on Friday, taking USD/JPY to the 113.40 region for the time being.

USD/JPY looks to yields, data

The pair is down for the third session in a row at the end of the week, intensifying the leg lower after being rejected from Monday’s fresh multi-month tops around 114.70.

The pair is wobbling between gains and losses so far today despite the better tone in yield of the US 10-year benchmark, which continue to navigate around daily tops in the 2.38% neighbourhood.

USD came under renewed selling pressure as of late following increasing market skepticism over the US tax reform plans.

Looking ahead, the preliminary reading of the U-Mich index will give an idea of the US consumer sentiment expected for the current month.

USD/JPY levels to consider

As of writing the pair is losing 0.02% at 113.45 and a break below 113.09 (low Nov.9) would expose 112.97 (low Oct.31) and then 111.75 (200-day sma). On the other hand, the next hurdle lines up at 114.73 (high Nov.6) seconded by 115.51 (high Mar.10) and finally 118.61 (2017 high Jan.3). Further out, FX Street’s Technical Confluences Indicator (TCI) highlights a strong resistance area in the 113.80/88 band, where sit the 5- and 10-day sma, 100-hour sma and a monthly Fibo retracement.

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 securities. 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 Forex 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.