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10 Dec 2014
USD/JPY bears target the 116 handle
FXStreet (Guatemala) - USD/JPY is trading at 118.51, down -0.91% on the day, having posted a daily high at 119.93 and low at 118.28.
USD/JPY is changing hands in steady fashion below the 118.80 resistance and pressures are mounting for lower territory on the handle in a continuation of the unwinding that has taken place in the last month of the year.
We are now moving towards the final events that the market has been building towards and these come in the form of Japans snap elections this week and FOMC next week. We are also heading into the time of year where there is a higher level of supply in the greenback and corporate repartition flows.
From a technical position, Camilla Sutton, CFA, CMT, Chief FX Strategist at Scotiabank was warning of a period of stability before there is enough momentum to push USD/JPY higher with support lies initially at yesterday’s low of 117.95 with a test down to 116.82 likely in the near‐term.
USD/JPY is changing hands in steady fashion below the 118.80 resistance and pressures are mounting for lower territory on the handle in a continuation of the unwinding that has taken place in the last month of the year.
We are now moving towards the final events that the market has been building towards and these come in the form of Japans snap elections this week and FOMC next week. We are also heading into the time of year where there is a higher level of supply in the greenback and corporate repartition flows.
From a technical position, Camilla Sutton, CFA, CMT, Chief FX Strategist at Scotiabank was warning of a period of stability before there is enough momentum to push USD/JPY higher with support lies initially at yesterday’s low of 117.95 with a test down to 116.82 likely in the near‐term.