USD/JPY struggles to keep bids amid calm session

The USD/JPY pair is seen trading a tight 10-pips range over the last couple of hours, cooling-off from the volatile start to the Tokyo session.

USD/JPY hovers above 5 & 10-DMA confluence at 100.40

The US dollar retraces a part of yesterday’s gains versus the Japanese currency, keeping the USD/JPY supported at the 5 & 10-DMA confluence zone. The DXY trades -0.06% lower at 94.67, retreating from 94.87 highs reached a day before.

Further, cautious tone experienced around the Asian equities and commodities’ space, also keeps the upside capped in USD/JPY. At the time of writing, USD/JPY trades almost unchanged at 100.43.

Markets refrain from placing any directional bet on the major ahead of the highly-influential Jackson Hole Symposium, which may shed fresh light on the US interest rates outlook for this year. Besides, calendar-wise, we have the US durable goods data on the cards later tonight ahead of Friday’s GDP figures and Yellen’s speech.

USD/JPY Technical levels to watch

In terms of technicals , the immediate resistance is located at 100.62 (daily high). A break above the last, the major could test 101/101.02 (psychological levels/ 20-DMA). While to the downside, the immediate support is seen at 100 (round figure) and below that at 99.53 (Aug 16 low).