USD/JPY flatlines into Christmas countdown

FXstreet.com (Barcelona) - The usual festive withdrawal of liquidity, combined with a local holiday, looks to have hit USD/JPY this morning, with the pair restricted to a Scrooge-like range between 103.93-104.07 despite the impressive moves of late.

USD/JPY clings to 104

With Japanese markets closed due to the Emperor’s Birthday, USD/JPY has traded around the 104 handle overnight with no real flow. A near empty European docket, leaves Chicago Fed National Activity, Personal Income MoM, Personal Consumption & Spending data at 13:30 GMT, and the Reuters/Michigan Consumer Sentiment Index at 14:55 GMT as the only points of reference today. Peter Fell of FXBeat notes that demand is seen at 103.60-70, with support around 104.50.

What are today’s key USD/JPY levels?

Hourly RSI is at 39 and neutral, alongside ADX at 27. The hourly 200 SMA sits at 103.30 and is sloping higher while the 20 EMA is also climbing at 103.63. The daily pivot point is at 104.18, and acts as next immediate support, before 104.52 (R1). Below, immediate support can be found at 103.72 (S1).

Germany: Import Price Index rises in November against forecasts

The German Import Price Index grew 0.1% in November, compared with the 0.7% drop the previous month, Deutsche Bundesbank informed on Monday. Analysts expected a 0.2% contraction.
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USDJPY: Pair breaks below range ahead of US inflation numbers

USD/JPY fell from highs at JPY104.0650 down 0.11 percent to 103.9350 ahead of today’s inflation numbers.
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