FXStreet (Moscow) - USD/JPY climbed from the Asia low of 101.61, but it is still far away from 102.00, which means that the bears are in control

The reality of Abenomics

USD/JPY investors turned a blind eye to the BOJ decision to leave its monetary policy unchanged, as it was widely expected. Although the market is highly agitated by the understanding the BOJ is not going to change the monetary policy soon, the reality is that the economic data after the April hike is only starting to leak through. Indeed, the Q2 GDP growth is widely expected to drop back below 2.0% y/y again, meaning the Abenomics is working, but not that good. Add to it the recent speculations about the GIPF starting to diversify its holdings away from yen-nominated assets, and the bearish outlook for the yen is again on the table.

What are today’s key USD/JPY levels?

Today's central pivot point can be found at 101.82, with support below at 101.48, 101.27 and 100.93 with resistance above at 102.04, 102.38, and 102.59. Hourly Moving Averages are mostly bearish, with the 200SMA at 102.36 and the daily 20EMA at 102.11. Hourly RSI is bearish at 42.

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