The Japanese Yen continues strengthening against the US Dollar amid the publication of BoJ economic report.
Initial Jobless Claims statistics are due today in the US. Analysts expect the indicator to be down by 1K to 270K. Such dynamics suggests strong labor market conditions and might support the US Dollar .
Tomorrow, attention needs to be paid to Japan’s Unemployment Rate which is expected to increase by 0.1% to 3.2%. Weakness in the labor market affects the country’s economy and the JPY exchange rate.
Support and resistance
On the , the pair is trading near the lower MA of . The price remains below the MA50, MA100 and MA144, directed parallel and horizontally. histogram is in the negative zone, its volumes are growing; thus, negative dynamics in the pair is likely to develop.
Support levels: 120.12 (lower MA of ), 118.80, 118.06, 117.20, 116.19.
Resistance levels: 121.73, 122.00, 122.50, 123.60, 124.25, 125.27.
Long positions can be opened from the level of 120.12 with the target at 121.15 and stop-loss at 119.85.
Short positions can be opened from the level of 119.85 with the target at 119.00 and stop-loss at 120.12.
Validity – 2 days.