23 Jul 2013
USD/JPY retesting 100.00 barrier
FXstreet.com (New York) - The USD/JPY foreign exchange rate has effectively eased off of its US highs at 100.20 Tuesday, thereby returning to the 100.00 region a the time of writing.
In the United States, the Richmond Fed Manufacturing Index (July) was reported at -11.0, missing expectations of 7.0, and compared to a figure of 8.0 previously.
USD/JPY strategic bias
In these moments, the USD/JPY is now operating at 99.96, still up +0.26% above its opening despite the recent easing that has enveloped the pair. Technically speaking, the Danske Research Team points to resistances at 100.24 (session high), and 100.65.
According to Karen Jones, an analyst at Commerzbank, “The USD/JPY has failed to clear the three month resistance line and is eroding the 55-day MA. We continue to suspect that the market will struggle to break above the 101.60 78.6% retracement. While this level caps, the base of the cloud at circa 97.92/93 could be revisited. The market remains sandwiched between these two levels, but we suspect that overall risk is still on the downside.”
In the United States, the Richmond Fed Manufacturing Index (July) was reported at -11.0, missing expectations of 7.0, and compared to a figure of 8.0 previously.
USD/JPY strategic bias
In these moments, the USD/JPY is now operating at 99.96, still up +0.26% above its opening despite the recent easing that has enveloped the pair. Technically speaking, the Danske Research Team points to resistances at 100.24 (session high), and 100.65.
According to Karen Jones, an analyst at Commerzbank, “The USD/JPY has failed to clear the three month resistance line and is eroding the 55-day MA. We continue to suspect that the market will struggle to break above the 101.60 78.6% retracement. While this level caps, the base of the cloud at circa 97.92/93 could be revisited. The market remains sandwiched between these two levels, but we suspect that overall risk is still on the downside.”