OctaFX | OctaFX Forex Broker
Open trading account

USD/JPY: headed for further gains ahead of BoJ? - FXStreet

FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that the USD/JPY pair erased most of its intraday losses, recovering from a daily low of 120.57 reached after the release of US disappointing data, recovering above the 121.00 level by the end of the day.

Key Quotes:

"The Japanese Yen got a boost during the previous Asian session, after PM Abe adviser, Hamada, stated that there's no need for the BOJ to ease, as long as market expectations for a FED rate hike keep the yen weak. Nevertheless, investors are now convinced that the latest ECB decision may force the BOJ to act, to prevent further JPY appreciation."

"The pair is still unable to overcome its 200 DMA, a major resistance level tested by the end of the last week around 121.45, but the 1 hour chart shows that the bullish potential is increasing, as the technical indicators are crossing their mid-lines towards the upside, whilst the price is clearly above a bullish 20 SMA."

"In the 4 hours chart, the Momentum indicator retreated from overbought levels and continues heading lower above its 100 level, although the RSI has turned back higher after correcting extreme readings, now heading higher around 62, all of which supports further gains for this Tuesday."

NZD/USD steady on mixed trade balance

NZD/USD is currently trading at 0.6772 with a high of 0.6774 and a low of 0.6738. The NZ trade balance and deficit widened on a fall in exports and a rise in imports, neither were came in line with consensus but leaves the currency stagnant with a bearish bias with an initial drop of 20 pips on the release.
Read more Previous

Key events ahead - Westpac

Analysts at Westpac noted that the Asian calendar is quiet, with only China Sep industrial profits, not a market mover, but gave insights to the key events taking place in Europe and the US.
Read more Next
Start livechat