USDJPY pair is making erratic swings below the round-level resistance of 140.00.
In the London session, the USDJPY pair is making erratic swings below the round-level resistance of 140.00. The asset is trying to make a clear move as investors await the Federal Reserve’s (Fed). And Bank of Japan’s (BoJ) interest rate decisions. Which will be released next week.
S&P500 futures have lost some ground ahead of the start in New York, indicating a cautious market sentiment.
S&P500 futures have lost some ground ahead of the start in New York, indicating a cautious market sentiment. The US Dollar Index (DXY) has recovered well and is striving to reclaim its prior high. of 100.53.
Moving forward, the attention will be on Japan’s June inflation report. According to consensus, the headline Consumer Price Index (CPI) climbed to 3.5% from 3.2% in the previous report. Core inflation, which includes volatile oil. And food costs, fell little to 4.2% from 4.3% before.
After testing the breakout of the Ascending Triangle chart pattern, USDJPY has recovered.
After testing the breakout of the Ascending Triangle chart pattern produced on a two-hour period. USDJPY has recovered. When the aforementioned chart pattern breaks out. It results in broader ticks and high volume. The US Dollar bulls are being supported. By the 20-period Exponential Moving Average (EMA) at 139.42.
Meanwhile, the Relative Strength Index (RSI) (14) is aiming to break. Into the bullish 60.00-80.00 zone.
A definitive break over the July 19 high around 140.00 would propel the asset towards the June 15 high at 141.50. Followed by the July 10 high at 143.00.
A fall below the July 18 low of 137.68. On the other hand, would expose. The asset to the May 17 bottom of 136.30 and the May 12 low of 134.40.
