25 Sep 2013
USD/JPY dips below 98.50
FXstreet.com (Edinburgh) -The greenback is now rapidly losing ground against its Japanese counterpart on Wednesday, dragging the USD/JPY to fresh intraday lows around 98.50/40.
USD/JPY focus on CPI data
The pair is thus extending its decline from last week’s peaks around 99.60 ahead of the key inflation figures due tomorrow. The National CPI excluding Fresh Food, the measure targeted by the BoJ, is expected to rise at an annual pace of 0.7% in August, matching July’s reading. Derek Halpenny, European Head of Global Markets Research, observed “Higher inflation and improving confidence coinciding with a government commitment to tackle Japan’s fiscal problems should all play into Abenomics and help encourage some renewed yen selling”.
USD/JPY levels to watch
The pair is now losing 0.23% at 98.51 facing the next support at 97.86 (cloud top) ahead of 97.76 (low Sep.18) and then 97.65 (cloud base). On the flip side, a breakout of 99.18 (high Sep.24) would target 99.67 (high Sep.20) en route to 99.98 (high Sep.13).
USD/JPY focus on CPI data
The pair is thus extending its decline from last week’s peaks around 99.60 ahead of the key inflation figures due tomorrow. The National CPI excluding Fresh Food, the measure targeted by the BoJ, is expected to rise at an annual pace of 0.7% in August, matching July’s reading. Derek Halpenny, European Head of Global Markets Research, observed “Higher inflation and improving confidence coinciding with a government commitment to tackle Japan’s fiscal problems should all play into Abenomics and help encourage some renewed yen selling”.
USD/JPY levels to watch
The pair is now losing 0.23% at 98.51 facing the next support at 97.86 (cloud top) ahead of 97.76 (low Sep.18) and then 97.65 (cloud base). On the flip side, a breakout of 99.18 (high Sep.24) would target 99.67 (high Sep.20) en route to 99.98 (high Sep.13).