USDJPY AWAITS U.S INFLATION AND RETAILS SALES DATA AHEAD OF THE FED
The USDJPY pair is largely unchanged around the 110 level in early Wednesday trading, as financial markets remain cautious ahead of the Federal Reserve interest rate decision and Bank of Japan policy statement.
Later today the United States economy releases retail sales figures for the month of May, with only a modest increase of 0.1% expected. Traders crucially also get a snapshot of U.S inflation, with the Federal Reserve watching the monthly and annual CPI measure closely, a higher than expected reading today should be taken as USDJPY positive.
The USDJPY pair is currently flat, with range bound conditions likely to persist between 109.65 to 110.30 until a clear trading catalyst presents itself later today.
Technically the pair continues to trade around the H1 time frame period 200 moving average, which is currently dropping, and located at 110.13.
Above 110.13, the pair may gravitate towards former swing high's at 110.28 and 110.42 ahead of the Federal Reserve meeting.
The calculated daily pivot point currently stands at 109.95, with the weekly pivot point coming in at 110.10 and the monthly much higher up at 111.82.