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19 Jun 2013
USD/JPY retains bid tone post Japan trade data
FXstreet.com (Barcelona) - The USD/JPY continues to trade on a bid tone after the release of the latest Japanese trade figures, in which the trade deficit for May stood at -993.9 bln yen. The pair is presently around 95.65, 35 pips or 0.30% above its NY close.
Japan trade balance widens moderately
Japan’s trade deficit widened in May after both exports and imports grew at a 10.1% and 10%, respectively, on a yearly basis vs the 6.5% and 10.8% Reuters had been expecting. The rise in exports is an indication of solid domestic demand, especially after the weakening of the local currency.
USD/JPY technical levels
Despite the topside failure at 95.10/15 resistance last Monday, the USD/JPY picked up momentum through Tuesday, breaking and consolidating above the 20-day EMA. The next critical level to penetrate on the upside is supply at 95.80/96.20, a pre-requisite that would open the doors towards 97.00 June 12 swing high ahead of the FOMC, as pointed by Chris Capre, Founder at 2ndSkies. On the downside, 95.00 round number acts as key support.
Japan trade balance widens moderately
Japan’s trade deficit widened in May after both exports and imports grew at a 10.1% and 10%, respectively, on a yearly basis vs the 6.5% and 10.8% Reuters had been expecting. The rise in exports is an indication of solid domestic demand, especially after the weakening of the local currency.
USD/JPY technical levels
Despite the topside failure at 95.10/15 resistance last Monday, the USD/JPY picked up momentum through Tuesday, breaking and consolidating above the 20-day EMA. The next critical level to penetrate on the upside is supply at 95.80/96.20, a pre-requisite that would open the doors towards 97.00 June 12 swing high ahead of the FOMC, as pointed by Chris Capre, Founder at 2ndSkies. On the downside, 95.00 round number acts as key support.