19 Aug 2015
USD/JPY wavers after US CPI
FXStreet (Córdoba) - USD/JPY saw a quick drop as the greenback weakened as knee-jerk reaction to US consumer price index data, although it managed to reverse the initial move minutes after.
US CPI rose 0.1% from a month earlier in July, missing expectations of a 0.2% rise while core index, which excludes volatile items as food and energy, also climbed 0.1%, below the 0.2% of forecast. From a year earlier, consumer prices rose 0.2% and 1.8% for the headline and the core, both matching expectations.
USD/JPY fell immediately after the release and printed a fresh low of 124.09 but managed to quickly recover to trade above pre-data levels. At time of writing, USD/JPY is trading at 124.40, little changed on the day, having hit also a fresh peak of 124.43 in recent dealings.
USD/JPY levels to watch
In terms of technical levels, USD/JPY could find immediate supports at 124.09 (Aug 19 low), 124.03 (Aug 14 low) and 123.78 (Aug 12 low). On the other hand, resistances are seen at 124.61 (Aug 13 high) and 125.27 (Aug 12 high) ahead of 125.66 (Jun 8 high).
US CPI rose 0.1% from a month earlier in July, missing expectations of a 0.2% rise while core index, which excludes volatile items as food and energy, also climbed 0.1%, below the 0.2% of forecast. From a year earlier, consumer prices rose 0.2% and 1.8% for the headline and the core, both matching expectations.
USD/JPY fell immediately after the release and printed a fresh low of 124.09 but managed to quickly recover to trade above pre-data levels. At time of writing, USD/JPY is trading at 124.40, little changed on the day, having hit also a fresh peak of 124.43 in recent dealings.
USD/JPY levels to watch
In terms of technical levels, USD/JPY could find immediate supports at 124.09 (Aug 19 low), 124.03 (Aug 14 low) and 123.78 (Aug 12 low). On the other hand, resistances are seen at 124.61 (Aug 13 high) and 125.27 (Aug 12 high) ahead of 125.66 (Jun 8 high).