11 Mar 2016
USD/JPY: Risk-on keeps bid tone intact
The USD/JPY pair has backed-off from the daily high of 113.92, but stays well bid heading into the US opening bell on account of risk-on trading in the stock markets.
Weekly gains or loss?
At 113.60 levels, the spot is trading just a few pips below the weekly opening price of 113.77 levels. Whether the pair scores weekly gain or ends up on a weaker note entirely depends on the sentiment across Wall Street.
As of now, the major US index futures are indicating the index is likely to end the day higher. Hence, odds of a positive weekly closing in the USD/JPY pair are high.
USD/JPY Technical Levels
The immediate hurdle is seen at 114.00 (psychological figure) ahead of the major hurdle at 114.48 (23.6% of 125.86-110.97). A break higher would expose 50-DMA at 115.83. On the other hand, a break below 113.22 (5-DMA) could see the spot test support at 112.75 (daily low) and 112.22 (Mar 9 low).
Weekly gains or loss?
At 113.60 levels, the spot is trading just a few pips below the weekly opening price of 113.77 levels. Whether the pair scores weekly gain or ends up on a weaker note entirely depends on the sentiment across Wall Street.
As of now, the major US index futures are indicating the index is likely to end the day higher. Hence, odds of a positive weekly closing in the USD/JPY pair are high.
USD/JPY Technical Levels
The immediate hurdle is seen at 114.00 (psychological figure) ahead of the major hurdle at 114.48 (23.6% of 125.86-110.97). A break higher would expose 50-DMA at 115.83. On the other hand, a break below 113.22 (5-DMA) could see the spot test support at 112.75 (daily low) and 112.22 (Mar 9 low).