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Forex pairs in this Article » USD/JPY
FXstreet.com (Barcelona) - The Asian session slammed the door on USDJPY bulls and the market plunged around 60 pips, from 84.45 to 83.86 low. The pair was able to reconquer the 84.00 handle and jump to 84.28 during the European session. However, the movement wasn't sustained and the cross is dunking to 84.05.

Apart from Monday, the USDJPY was able to close the US session above the 84.00 mark every day. Today, there is low sentiment after Boehner's "Plan B" voting being cancelled that leaves a US fiscal cliff deal to drag into next week at best.

Japan's next Prime Minister Shinzo Abe does not intend to revise BOJ law as long as the central bank meets LDP Party's expectations and hopes the 2% inflation target is agreed upon for when the new government compiles economic stimulus measures in mid-January.

"Monitor the support at 83.61 (17/12/2012 low, see also rising trendline), as a break would open the way for a deeper correction", wrote MIG Bank analyst Bijoy Kar, pointing also to support at 82.80 (intraday low) as overbought conditions favor a short-term phase of weakness.
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