- USD/JPY failed to clear 110.00 yesterday, possibly due to 10-year yield surrendering early gains.
- The pair is currently trading around the 5-day moving average (MA) of 109.58.
- Focus on Senate vote to end the government shutdown
The USD/JPY pair is currently trading around the 5-day MA of 109.58, having hit a high of 110.00.
The Bank of Japan (BOJ) kept key policy tools unchanged yesterday and revised lower its inflation and growth forecast, reinforcing the view that the central bank is unlikely to scale back the unprecedented stimulus any time soon. Further, the US 10-year treasury yield ticked higher to 2.77 percent.
USD/JPY, therefore, jumped to 110.00 yesterday. The psychological hurdle, however, proved a tough nut to crack, possibly due to the pullback in Treasury yields. The 10-year yield surrendered gains and ended largely unchanged on the day at 2.73 percent.
Focus on Senate vote
The Senate is expected to vote today on a Republican measure incorporating Trump's $5.7 billion demand for US-Mexico border wall and a short term spending bill from the Democrats that would help reopen the government until February 8th.
Kathy Lien from BK Asset Management believes the vote will likely fail as neither party has a majority and both resist the other's proposals. The USD will likely find bids if the vote succeeds in ending the 34-day-long government shutdown.
USD/JPY Technical Levels
USD/JPY
Overview:
Today Last Price: 109.53
Today Daily change: -0.08 pips
Today Daily change %: -0.07%
Today Daily Open: 109.61
Trends:
Daily SMA20: 109.09
Daily SMA50: 111.29
Daily SMA100: 112.01
Daily SMA200: 111.23
Levels:
Previous Daily High: 110
Previous Daily Low: 109.32
Previous Weekly High: 109.9
Previous Weekly Low: 107.99
Previous Monthly High: 113.83
Previous Monthly Low: 109.55
Daily Fibonacci 38.2%: 109.74
Daily Fibonacci 61.8%: 109.58
Daily Pivot Point S1: 109.29
Daily Pivot Point S2: 108.97
Daily Pivot Point S3: 108.61
Daily Pivot Point R1: 109.97
Daily Pivot Point R2: 110.33
Daily Pivot Point R3: 110.65
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD holds gains near 1.0650 amid risk reset
EUR/USD is holding onto its recovery mode near 1.0650 in European trading on Friday. A recovery in risk sentiment is helping the pair, as the safe-haven US Dollar pares gains. Earlier today, reports of an Israeli strike inside Iran spooked markets.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD is rebounding toward 1.2450 in early Europe on Friday, having tested 1.2400 after the UK Retail Sales volumes stagnated again in March, The pair recovers in tandem with risk sentiment, as traders take account of the likely Israel's missile strikes on Iran.
Gold price defends gains below $2,400 as geopolitical risks linger
Gold price is trading below $2,400 in European trading on Friday, holding its retreat from a fresh five-day high of $2,418. Despite the pullback, Gold price remains on track to book the fifth weekly gain in a row, supported by lingering Middle East geopolitical risks.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Geopolitics once again take centre stage, as UK Retail Sales wither
Nearly a week to the day when Iran sent drones and missiles into Israel, Israel has retaliated and sent a missile into Iran. The initial reports caused a large uptick in the oil price.