28 Apr 2015
USD/JPY erases daily losses
FXStreet (Córdoba) - USD/JPY managed to recover from daily lows and erased early losses at the beginning of the New York session as investors await a Federal Reserve meeting for clues about the timing of a rate hike.
USD/JPY climbed back above the 119 mark after hitting a low of 118.81 to trade virtually unchanged on the day at the 119.05 area. US consumer confidence data and Richmond Fed manufacturing index are the next round of data that could trigger dollar moves.
Worries that the US economy is slowing in the light of a series of disappointing US data have pushed expectations of a June lift-off, weighing on the dollar over the last weeks.
USD/JPY short-term outlook
“Broad dollar weakness should prevent the pair from advancing, unless upcoming US data surprises to the upside”, said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart the downside is favored, with the Momentum indicator turning lower below 100 and the RSI hovering around 45. Nevertheless, the pair needs to break below 118.52, this month low, to confirm additional declines during the upcoming sessions”.
USD/JPY climbed back above the 119 mark after hitting a low of 118.81 to trade virtually unchanged on the day at the 119.05 area. US consumer confidence data and Richmond Fed manufacturing index are the next round of data that could trigger dollar moves.
Worries that the US economy is slowing in the light of a series of disappointing US data have pushed expectations of a June lift-off, weighing on the dollar over the last weeks.
USD/JPY short-term outlook
“Broad dollar weakness should prevent the pair from advancing, unless upcoming US data surprises to the upside”, said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart the downside is favored, with the Momentum indicator turning lower below 100 and the RSI hovering around 45. Nevertheless, the pair needs to break below 118.52, this month low, to confirm additional declines during the upcoming sessions”.