7 Aug 2015
USD/JPY capped below 124.85 on BOJ Kuroda
FXStreet (Mumbai) - The USD/JPY pair stuck to its range just below 125 handle in the European morning, following Bank of Japan’s (BOJ) Kuroda’s comments at the press conference. The major was little impacted by Kuroda’s comments as widely expected as the central bank Governor echoed the same upbeat assessment of the Japanese economy.
US NFP – In focus
Currently, the USD/JPY pair trades flat at 124.80, failing a bounce towards 125 levels. The dollar-yen pair remained muted on BOJ Kuroda’s reiteration that the Japanese economy is recovering at a moderate pace and the ongoing QQE is having its intended effect while the inflation trend is seen rising at the press conference following today’s BOJ monetary policy decision announced in mid-Asia.
However, the central bank Governor noted that the bad weather has been one of the primary reasons for drop in consumer spending and private consumption, but he sees such weakness temporary. He also mentioned that the country’s exports were hit due lower demand from Asia and the US, although expects exports to recover gradually.
Earlier today, BOJ kept its monetary policy steady while pledging to increase monetary base at annual pace of 80 trln yen.
Looking ahead, markets now shift focus towards the US payrolls due later in the New York session. NFP are expected to post 225,000 growth for July, unchanged from 223,000 in June.
Register to the live coverage and trade the NonFarm Payrolls with Bednarik, Pinkert and Elam. We are Forex!
USD/JPY Technical Levels
To the upside, the next resistance is located 125.03 (Aug 5 High) levels and above which it could extend gains 125.69 (June 8 High) levels. To the downside immediate support might be located at 124.32 (June 5 Low) below that at 124 levels.
US NFP – In focus
Currently, the USD/JPY pair trades flat at 124.80, failing a bounce towards 125 levels. The dollar-yen pair remained muted on BOJ Kuroda’s reiteration that the Japanese economy is recovering at a moderate pace and the ongoing QQE is having its intended effect while the inflation trend is seen rising at the press conference following today’s BOJ monetary policy decision announced in mid-Asia.
However, the central bank Governor noted that the bad weather has been one of the primary reasons for drop in consumer spending and private consumption, but he sees such weakness temporary. He also mentioned that the country’s exports were hit due lower demand from Asia and the US, although expects exports to recover gradually.
Earlier today, BOJ kept its monetary policy steady while pledging to increase monetary base at annual pace of 80 trln yen.
Looking ahead, markets now shift focus towards the US payrolls due later in the New York session. NFP are expected to post 225,000 growth for July, unchanged from 223,000 in June.
Register to the live coverage and trade the NonFarm Payrolls with Bednarik, Pinkert and Elam. We are Forex!
USD/JPY Technical Levels
To the upside, the next resistance is located 125.03 (Aug 5 High) levels and above which it could extend gains 125.69 (June 8 High) levels. To the downside immediate support might be located at 124.32 (June 5 Low) below that at 124 levels.