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28 Feb 2014
USD/JPY severing the 102 handle
FXStreet (Guatemala) - USD/JPY has severed the upside 102.00 handle despite key technical being eroded on the way down through the three month support at 101.72.
USD/JPY reacted well to the Personal Consumption Expenditures Prices and Core Personal Consumption Expenditures Prices for Q4 Q/Q that beat expectations 1.0% vs 0.7% and 1.3% vs 1.1% respectively. However, the US Q4 GDP disappointed slightly as it only rose 2.4% vs a better expected 2.4%. Up next on a busy day of data we have Chicargo PMI which is expected to ease to 56.4 in Febuary from 59.6 in January (14.45 GMT). Then we have Michigan consumer sentiment at 14.55GMT, expected 81.2 and to round things off we have Pending home sales at 15.00GMT expected to rise 1.8% vs the January disappointment when we had a decline of 8.7%.
Technically, Karen Jones, chief analyst at Commerzbank said, “The market had been previously capped on the topside by its 55 day ma at 103.28. This guards 104.45 en route to the more important 105.45/50 recent high and long term Fibo”. She also notes a multitude of supports between 101 and 100, “We look for this ‘zone’ to under pin. This area is also reinforced by the 55 week ma at 99.41”.
USD/JPY Levels
The 20 DMA is 102.12, the 50 DMA is 103.31 and the 200 DMA is 100.18. RSI (14) reads 44.32. supports are ascending from 101.07, 101.25, 101.38, 101.60 and 101.99. Spot is 102.01. Resistances are 102.22 102.47 and 102.68.
USD/JPY reacted well to the Personal Consumption Expenditures Prices and Core Personal Consumption Expenditures Prices for Q4 Q/Q that beat expectations 1.0% vs 0.7% and 1.3% vs 1.1% respectively. However, the US Q4 GDP disappointed slightly as it only rose 2.4% vs a better expected 2.4%. Up next on a busy day of data we have Chicargo PMI which is expected to ease to 56.4 in Febuary from 59.6 in January (14.45 GMT). Then we have Michigan consumer sentiment at 14.55GMT, expected 81.2 and to round things off we have Pending home sales at 15.00GMT expected to rise 1.8% vs the January disappointment when we had a decline of 8.7%.
Technically, Karen Jones, chief analyst at Commerzbank said, “The market had been previously capped on the topside by its 55 day ma at 103.28. This guards 104.45 en route to the more important 105.45/50 recent high and long term Fibo”. She also notes a multitude of supports between 101 and 100, “We look for this ‘zone’ to under pin. This area is also reinforced by the 55 week ma at 99.41”.
USD/JPY Levels
The 20 DMA is 102.12, the 50 DMA is 103.31 and the 200 DMA is 100.18. RSI (14) reads 44.32. supports are ascending from 101.07, 101.25, 101.38, 101.60 and 101.99. Spot is 102.01. Resistances are 102.22 102.47 and 102.68.