24 Mar 2015
USD/JPY: Yen hits fresh highs above 119.50 on BOJ Kuroda’s comments
FXStreet (Mumbai) - The yen defended mild gains versus the US dollar ahead of the US open, dragging USD/JPY lower below 119.60 levels largely on Bank of Japan’s (BOJ) Governor Kuroda’s latest comments about the possible options to end QQE crossing the wires.
USD/JPY retreats from 119.70
Currently, the USD/JPY trades lower by -0.13% at fresh session lows of 119.56 levels, having previously posted day’s high at 119.88 levels. USD/JPY turned slightly lower near lows as the yen gained momentum against the greenback after BOJ’s Kuroda’s comments contemplating options to end QQE. BOJ Kuroda noted, “tapering asset purchases is one option in ending QQE.”
Moreover, reports that the Japanese Cabinet office upgraded Japan’s economic outlook for the first time in eight months also boosted the yen.
Also, a slightly softer US dollar, having trimmed previous gains also added to the weakness in USD/JPY. The US dollar index which measures the relative strength of the greenback against a basket of six major currencies trimmed gains by half and remains higher by 0.18% at 97.38 levels.
Meanwhile, traders now switch their attention on the crucial US CPI data later today followed by durable goods orders numbers which may provide fresh direction on USD/JPY.
USD/JPY Technical Levels
To the upside, the next resistance is located at 119.88 (Today’s High) levels and above which it could extend gains 120.07 (5-DMA) levels. To the downside immediate support might be located at 119.42 (50-DMA) levels, below that at 119 levels.
USD/JPY retreats from 119.70
Currently, the USD/JPY trades lower by -0.13% at fresh session lows of 119.56 levels, having previously posted day’s high at 119.88 levels. USD/JPY turned slightly lower near lows as the yen gained momentum against the greenback after BOJ’s Kuroda’s comments contemplating options to end QQE. BOJ Kuroda noted, “tapering asset purchases is one option in ending QQE.”
Moreover, reports that the Japanese Cabinet office upgraded Japan’s economic outlook for the first time in eight months also boosted the yen.
Also, a slightly softer US dollar, having trimmed previous gains also added to the weakness in USD/JPY. The US dollar index which measures the relative strength of the greenback against a basket of six major currencies trimmed gains by half and remains higher by 0.18% at 97.38 levels.
Meanwhile, traders now switch their attention on the crucial US CPI data later today followed by durable goods orders numbers which may provide fresh direction on USD/JPY.
USD/JPY Technical Levels
To the upside, the next resistance is located at 119.88 (Today’s High) levels and above which it could extend gains 120.07 (5-DMA) levels. To the downside immediate support might be located at 119.42 (50-DMA) levels, below that at 119 levels.