5 Mar 2015
USD/JPY bounces in an attempt to 120.00
FXStreet (Mumbai) - USD/JPY trades modestly flat in the mid-Asian session, extending its side trend, as safe-haven bids for the yen continues to undermine the pair ahead of European Central Bank (ECB) meeting in the day ahead.
USD/JPY trades around 5-DMA
Currently, the USD/JPY traded flat at 119.78 levels, having previously hit day’s highs at 119.85 levels and day’s low at 119.63. The pair continues its accumulation phase, looking for a clear direction ahead of a key ECB meeting later in the day. The yen weakened against the greenback slightly this morning after Bank of Japan (BOJ) board member Takahide Kiuchi, who opposed the Oct. 31 further easing, called for a review on the feasibility of massive buying of government bonds, pushing pressure on the Japanese currency.
However, the pair remains steady on safe-haven demand for yen after China’s downgrade of its growth outlook continues to undermine USD/JPY.
Meanwhile, traders now brace for the main driver for the pair – US employment data, which may provide fresh incentives in the day ahead.
USD/JPY Technical Levels
To the upside, the next resistance is located at 120 levels and above which it could extend gains 120.27 (March 3 High) levels. To the downside immediate support might be located at 119.48 (10-DMA) levels, below that at 119.27 (20-DMA) levels.
USD/JPY trades around 5-DMA
Currently, the USD/JPY traded flat at 119.78 levels, having previously hit day’s highs at 119.85 levels and day’s low at 119.63. The pair continues its accumulation phase, looking for a clear direction ahead of a key ECB meeting later in the day. The yen weakened against the greenback slightly this morning after Bank of Japan (BOJ) board member Takahide Kiuchi, who opposed the Oct. 31 further easing, called for a review on the feasibility of massive buying of government bonds, pushing pressure on the Japanese currency.
However, the pair remains steady on safe-haven demand for yen after China’s downgrade of its growth outlook continues to undermine USD/JPY.
Meanwhile, traders now brace for the main driver for the pair – US employment data, which may provide fresh incentives in the day ahead.
USD/JPY Technical Levels
To the upside, the next resistance is located at 120 levels and above which it could extend gains 120.27 (March 3 High) levels. To the downside immediate support might be located at 119.48 (10-DMA) levels, below that at 119.27 (20-DMA) levels.