29 Aug 2013
USD/JPY still gaining strength over the European session
FXstreet.com (Athens) - The USD/JPY is sitting well above the 98.00 area, without any clear risk aversion signals seen in markets.
Will the USD/JPY heading upwards as Syria’s fears ease and ahead of US data
While there hasn’t been a decent clear risk aversion sign, the USD/JPY rose above 98.00 level, for the first time in two days. Investors should keep in mind that, a two week low was set yesterday at 96.81. Today, most probably on the fact that President Obama stepped back regarding the ‘Syria’s issue’, the ‘American dollar’ boosted further across the board. All in all, we could say that the yen is giving back some of itsgains from earlier this week as the flight to safety by traders, mainly drivenby the increasing likelihood of international military intervention in Syria, has eased, although uncertainty still remains elevated in the near-term. Today we are ahead of important US data, therefore investors should pay attention to both the US initial claim reports and the US revised GDP.
Technical outlook on USD/JPY
According to Tim Riddell, Head of Global Markets Research in ANZ team, ‘USD/JPY remains the key driver. Current range trading (96-103) is seen as constructive in the context of an underlying Bias is buy into USD/JPY weakness for a retest of recent highs’. At the time of writing, the pair is trading at 98.14 area, up 0.51%. The FXstreet.com Trend Index shows the pair to be slightly bearish. Daily pivot point support can be found at 97.50, 96.23, 95.75 and resistance at 98.94, 99.14 and 99.43, respectively.
Will the USD/JPY heading upwards as Syria’s fears ease and ahead of US data
While there hasn’t been a decent clear risk aversion sign, the USD/JPY rose above 98.00 level, for the first time in two days. Investors should keep in mind that, a two week low was set yesterday at 96.81. Today, most probably on the fact that President Obama stepped back regarding the ‘Syria’s issue’, the ‘American dollar’ boosted further across the board. All in all, we could say that the yen is giving back some of itsgains from earlier this week as the flight to safety by traders, mainly drivenby the increasing likelihood of international military intervention in Syria, has eased, although uncertainty still remains elevated in the near-term. Today we are ahead of important US data, therefore investors should pay attention to both the US initial claim reports and the US revised GDP.
Technical outlook on USD/JPY
According to Tim Riddell, Head of Global Markets Research in ANZ team, ‘USD/JPY remains the key driver. Current range trading (96-103) is seen as constructive in the context of an underlying Bias is buy into USD/JPY weakness for a retest of recent highs’. At the time of writing, the pair is trading at 98.14 area, up 0.51%. The FXstreet.com Trend Index shows the pair to be slightly bearish. Daily pivot point support can be found at 97.50, 96.23, 95.75 and resistance at 98.94, 99.14 and 99.43, respectively.