USD/JPY Remains Below 102 Handle After BOJ Governor’s Speech

By DailyFx | June 20, 2014 AAA

DailyFX.com -

Talking Point:

  • Bank of Japan Governor Kuroda Said Inflation to Pick Up in 2H 2014.
  • USD/JPY Largely Unchanged Following the Press Conference in Tokyo.
  • US Dollar Weakness Post FOMC Meeting May Keep USD/JPY below 102

Want to trade with proprietary strategies developed by FXCM? Find out how here.

Bank of Japan (BOJ) Governor Kuroda spoke at the annual meeting of the National Association of Shinkin Banks, held in Tokyo today. He remarked at the ensuing press conference on the BOJ’s commitment to continue with the unconventional monetary easing until its 2 percent inflation target is met, which was set a year ago. He further alluded that the sales tax increase from 5 percent to 8 percent, which was enacted on April 1st, is causing some economic fluctuations. However, he reiterated that Japan’s economy was recovering moderately and inflation was to pick up in the second half of 2014.

Following the press conference, the Yen advanced slightly higher against the Greenback to trade at 101.921.

The broad-based US Dollar weakness on the back of the June FOMC Meeting may help explain the dive under 102.00 for USD/JPY in yesterday’s trading session. Technical analysis from Currency Strategist Ilya Spivak suggests the pair is currently in a narrow and choppy trading range with near term support at 101.75 and resistance at 102.35.

USD/JPY 5 Minute Chart

USD/JPY Remains Below 102 Handle After BOJ Governor's Speech

Chart Created Using FXCM Marketscope 2.0

New to FX? START HERE!

Edward Hyon, DailyFX Research Team

Keep up to date on event risk with DailyFX Calendar

comments powered by Disqus
Related Forex Analysis
  1. Weekly Trading Forecast: FX Traders Prepare for Heavy Volatility on FOMC, GDP and ...
    Forex News

    Weekly Trading Forecast: FX Traders Prepare for Heavy Volatility on FOMC, GDP and ...

  2. Dollar and Market Confidence Ride on FOMC Decision
    Forex News

    Dollar and Market Confidence Ride on FOMC Decision

  3. Gold Losses to Accelerate on Less Dovish FOMC- Support Break Eyes 1206
    Forex News

    Gold Losses to Accelerate on Less Dovish FOMC- Support Break Eyes 1206

  4. AUD Faces A Potential “Breakout” On US Heavy Event Risk
    Forex News

    AUD Faces A Potential “Breakout” On US Heavy Event Risk

  5. New Zealand Dollar at Risk on Dovish RBNZ, Status-Quo FOMC
    Forex News

    New Zealand Dollar at Risk on Dovish RBNZ, Status-Quo FOMC

Trading Center