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11 Mar 2014
USD/JPY is attacking the downside through 103 handle
FXStreet (Guatemala) - USD/JPY has been attacking the downside through 103.00 and has yet to meet much in the way of demand on 102.90/80 and the pair remains sub the handle.
Lee Hardman at The Bank of Tokyo-Mitsubishi UFJ, Ltd noted that the BoJ maintained unchanged monetary policy at their policy meeting remaining committed to increasing the monetary base at an annual pace of about JPY60-70 trillion. He explained, “The BoJ continued to describe the Japanese economy as recovering “moderately”. However, the BoJ did acknowledge that the performance of Japan’s exports have been disappointing noting that exports have “recently levelled off more or less”. Overall, he explained that the outlook for the Japanese economy and inflation remained unchanged. The loss of economic momentum in the 2H of 2013 ahead of the implementation of sales tax in April has increased downside risks to growth and inflation in 2014 which if they materialise may prompt additional BoJ easing later this year which could provide prove a fresh catalyst to trigger further yen weakness”.
USD/JPY Levels
The 20 DMA is 102.35, the 50 DMA is 103.04 and the 200 DMA is 100.22. RSI (14) reads 66.23. supports are ascending from 102.24, 102.46, and 102.59. Spot is 102.94 while resistances are 103.20, 103.43, 103.77, 103.87 and 104.00.
Lee Hardman at The Bank of Tokyo-Mitsubishi UFJ, Ltd noted that the BoJ maintained unchanged monetary policy at their policy meeting remaining committed to increasing the monetary base at an annual pace of about JPY60-70 trillion. He explained, “The BoJ continued to describe the Japanese economy as recovering “moderately”. However, the BoJ did acknowledge that the performance of Japan’s exports have been disappointing noting that exports have “recently levelled off more or less”. Overall, he explained that the outlook for the Japanese economy and inflation remained unchanged. The loss of economic momentum in the 2H of 2013 ahead of the implementation of sales tax in April has increased downside risks to growth and inflation in 2014 which if they materialise may prompt additional BoJ easing later this year which could provide prove a fresh catalyst to trigger further yen weakness”.
USD/JPY Levels
The 20 DMA is 102.35, the 50 DMA is 103.04 and the 200 DMA is 100.22. RSI (14) reads 66.23. supports are ascending from 102.24, 102.46, and 102.59. Spot is 102.94 while resistances are 103.20, 103.43, 103.77, 103.87 and 104.00.