30 Jul 2013
USD/JPY is targeting to close the ga
FXstreet.com (Barcelona) - USD/JPY has recovered from 97.80 Monday and is now well placed to continue higher and fill the gap at 98.60.
“The BoJ Governor in a speech yesterday “Toward Overcoming Deflation” noted that its QQE program “by no means intends to manoeuvre the exchange rate”, but the yen at 100 was welcome compared with pre-stimulus levels of around 80, and he concluded that the QQE program was successful to date by improving sentiment and activity, and kept JGB yields flat while US yields rose.” - Annette Beacher, Head of Asia-Pacific Research, FX and Rates Strategy, TD Securities
USD/JPY levels
USD/JPY has recovered from areas around the base of the cloud at 97.57, protecting 96.75/95.40. A break lower would indicate the pair would be en route to the 93.75 recent low. Rallies remain blocked on the topside by its minor 100.74 resistance line and the 101.60/78.6% retracement. We have the 55 dma at 99.42 that might be a tough line to breach. The 2004 March low acts as key target, 103.41.
“The BoJ Governor in a speech yesterday “Toward Overcoming Deflation” noted that its QQE program “by no means intends to manoeuvre the exchange rate”, but the yen at 100 was welcome compared with pre-stimulus levels of around 80, and he concluded that the QQE program was successful to date by improving sentiment and activity, and kept JGB yields flat while US yields rose.” - Annette Beacher, Head of Asia-Pacific Research, FX and Rates Strategy, TD Securities
USD/JPY levels
USD/JPY has recovered from areas around the base of the cloud at 97.57, protecting 96.75/95.40. A break lower would indicate the pair would be en route to the 93.75 recent low. Rallies remain blocked on the topside by its minor 100.74 resistance line and the 101.60/78.6% retracement. We have the 55 dma at 99.42 that might be a tough line to breach. The 2004 March low acts as key target, 103.41.