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9 Sep 2013
USD/JPY consolidating above the pivot
FXstreet.com (London) - USD/JPY is finding resistance at 99.60, above the pivot of 99.29, since climbing higher from Friday lows sub 98.60, 100 pips lower.
USD/JPY suffered big losses last week falling from above 100.20 and losses were extended on the poor US jobs data, disappointing bulls and triggering stops on the way down. On the data front, for Japan, Q2 GDP was revised up from 2.6% Q/Q annualized to 3.8%. “The government was waiting for these upward revisions before deciding on sales tax increases in October. Economy Minister Amari was speaking after the data suggesting they would need to find at least ¥2tr in government spending to help offset any such sales tax increase”, explained Richard Kelly, Head of European Rates and FX Research at TD Securities. Meanwhile, USD/JPY continues to flirt with the 100 handle but has not held north of there since late July.
USD/JPY levels and bid
USD/JPY is bid with the 20 DMA at 98.43, the 50 DMA is 98.82 and the 200 DMA is 95.22. RSI (14) reads 49.10. Supports are ascending from 98.52, 98.79, 99.00 and 99.30. Spot is 99.50, while resistances are 99.60, 99.75, 100.11, 100.45 and 101.05.
USD/JPY suffered big losses last week falling from above 100.20 and losses were extended on the poor US jobs data, disappointing bulls and triggering stops on the way down. On the data front, for Japan, Q2 GDP was revised up from 2.6% Q/Q annualized to 3.8%. “The government was waiting for these upward revisions before deciding on sales tax increases in October. Economy Minister Amari was speaking after the data suggesting they would need to find at least ¥2tr in government spending to help offset any such sales tax increase”, explained Richard Kelly, Head of European Rates and FX Research at TD Securities. Meanwhile, USD/JPY continues to flirt with the 100 handle but has not held north of there since late July.
USD/JPY levels and bid
USD/JPY is bid with the 20 DMA at 98.43, the 50 DMA is 98.82 and the 200 DMA is 95.22. RSI (14) reads 49.10. Supports are ascending from 98.52, 98.79, 99.00 and 99.30. Spot is 99.50, while resistances are 99.60, 99.75, 100.11, 100.45 and 101.05.