13 May 2015
USD/JPY supported at 50-DMA
FXStreet (Mumbai) - The US dollar continues to trade around a flat line against the Japanese yen in the mid-Asian session, with USD/JPY supported at 119.70, as market continues to digest upbeat Japanese trade data while US dollar recovers US jobs opening data-led losses against its major peers ahead of the US retail sales figures.
USD/JPY flattish below 120
Currently, the USD/JPY pair trades flat at 119.82, bouncing off strong support at 50-DMA. Markets continue to absorb the latest downbeat US JOLTS Jobs opening data on one side while traders cheer better than expected Japanese current account data keeping USD/JPY mutes in a narrow range.
The current account was in surplus by ¥2.80 trillion in March, expanding from ¥1.44 trillion in the previous month, and coming in above the market forecast of a ¥2.06 trillion surplus in March. This was the highest current-account surplus in seven years.
In the US last session, the JOLTS data posted 4.994 million open job positions, compared to the 5.108 million vacancies projected prior to the release.
In the day ahead, traders will focus on April's US retail trade numbers, which will provide more clarity in terms of the economic rebound that can be expected in the early second quarter. US retail sales are estimated to ease in April by edging up just 0.2%, following a 0.9% advance in March.
USD/JPY Technical Levels
To the upside, the next resistance is located at 120.30 (May 1 High) levels and above which it could extend gains 120.54 (May 5 High) levels. To the downside immediate support might be located at 119.69 (50-DMA) below that at 119.43 (May 11 Low) levels.
USD/JPY flattish below 120
Currently, the USD/JPY pair trades flat at 119.82, bouncing off strong support at 50-DMA. Markets continue to absorb the latest downbeat US JOLTS Jobs opening data on one side while traders cheer better than expected Japanese current account data keeping USD/JPY mutes in a narrow range.
The current account was in surplus by ¥2.80 trillion in March, expanding from ¥1.44 trillion in the previous month, and coming in above the market forecast of a ¥2.06 trillion surplus in March. This was the highest current-account surplus in seven years.
In the US last session, the JOLTS data posted 4.994 million open job positions, compared to the 5.108 million vacancies projected prior to the release.
In the day ahead, traders will focus on April's US retail trade numbers, which will provide more clarity in terms of the economic rebound that can be expected in the early second quarter. US retail sales are estimated to ease in April by edging up just 0.2%, following a 0.9% advance in March.
USD/JPY Technical Levels
To the upside, the next resistance is located at 120.30 (May 1 High) levels and above which it could extend gains 120.54 (May 5 High) levels. To the downside immediate support might be located at 119.69 (50-DMA) below that at 119.43 (May 11 Low) levels.