USD/JPY treading water above 112.00

The greenback is trading around yesterday’s close vs. the Japanese currency, taking USD/JPY to the 112.10/15 band.

USD/JPY looks to USTs, US data

The pair is struggling to add gains to yesterday’s advance against the backdrop of a consolidative theme in yields of the US 10-year benchmark, currently hovering over the 2.31% area.

In the meantime, spot appears to have found some decent support in the 111.70 region, all amidst the resurgence of dip-buyers, easing concerns over North Korea and the (high) probability of an LDP victory at the Sunday elections in Japan.

On the data front, US export/import price index is next on tap, seconded by September’s capacity utilization, industrial and manufacturing production, the NAHB index and TIC flows.

USD/JPY levels to consider

As of writing the pair is retreating 0.01% at 112.18 facing the immediate support at 111.78 (200-day sma) seconded by 111.66 (low Oct.16) and then 111.11 (38.2% Fibo of 107.33-113.44). On the other hand, a break above 112.43 (10-day sma) would test 112.83 (high Oct.10) and finally 113.44 (high Oct.6).