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Forex pairs in this Article » USD/JPY
FXStreet (Guatemala) - USD/JPY has turned to the support line of 102.20 again as supply came in on the Tokyo open and has been trading there about since.

For the pair today, from the US, numbers disappointed in the NAHB housing reading of 46 vs the 56 consensus and previous 56. This is indicating the housing market trend in the US has taken a turn. And then we have conflicting reactions as we are reminded of action from yesterdays BoJ that has ricochet through European and US markets. Lee Hardman, analyst at the Bank of Tokyo-Mitsubishi UFJ, Ltd explained,“The Policy Board decided to double the scale of i) the Stimulating Bank Lending Facility and ii) the Growth-Supporting Funding Facility and to extend the application period of these facilities by one year. Overall, the policy tweaks announced from the BoJ are unlikely to significantly ease monetary conditions in Japan in the near-term and will weigh only modestly upon the yen. The accelerated yen sell off overnight in part reflects reinforced investor expectations that the BoJ may deliver more significant monetary easing later this year. It also follows closely the release of the weaker than expected Japanese Q4 GDP report”. The day ahead doesn’t come with much in the way of the calendar but The US calendar looks busy. On the data front, Sean Callow, analyst at Westpac Banking Corporation ABN explained , “We will see Jan housing starts and building permits. Consensus of -4.9% and -1.6% allows for some weather-related weakness but risks are probably to the weak side once again”. The Jan PPI is the first of a revamped, broader series, but it still shouldn’t really move USD. The minutes from the FOMC’s 28-29 Jan meeting are also due, which could play slightly USD-positive, given the Fed’s optimistic tone on growth”. Ivan Delgado is the Head of Asian Editors for FXStreet and he explained in an article that Judging by the levels where the Nikkei 225 is trading, the savvy USD/JPY trader should still collect further evidence that the underlying bull trend is to resume.

USD/JPY Levels

The 20 DMA is 102.43, the 50 DMA is 103.44 and the 200 DMA is 100.19. RSI (14) reads 47.48. Supports are ascending from 101.38, 101.53, 101.76, 102.18. Spot is 102.25 while resistances are 102.40, 102.94, 103.10, 103.45 and 103.58.
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