The USD/JPY pair extends its previous two session gains and continues to march higher in the European session on April 28. The pair peaked at 109.08, the level last seen on April 14.
At the time of writing, USD/JPY is trading at 108.80, up 0.03% on the day.
Upbeat US economic data continues to strengthen investors risk appetite, thus helping to gain a stronghold for the greenback. US CB Consumer Confidence data rose to 121.7 in April from 109 in March, beating market expectations that stood at 113. I am expecting the green back to weaken in the next weeks because of inflationary pressure that coming from the Commodities Market ( Lumber, Platinum, Steel)
On the other hand, Japanese policymakers kept short-term key rates unchanged at -0.1%, as widely expected on Tuesday, and cut its consumer inflation forecast to 0.1% from earlier predictions of 0.5%. Retail Sales increased by 5.2% on a yearly basis in March. However, the concerns of lower inflation expectations, and thus the lower interest rates, overshadowed the good sales number. As said, the Japanese government is ready to impose strict measures and limit many businesses from operating to curb the rising coronavirus infections in the continent. Investors are now ready to place bets on the yen.
On the technichal side, the Price is retracing from 0,38 to 0,23 Fibu, and it was rejected. The price now is moving down side and it started to form a channel, I am expecting a movement down to 0,61 Fibu level.
Do not hesitate contacting me if you have any Questions!
At the time of writing, USD/JPY is trading at 108.80, up 0.03% on the day.
Upbeat US economic data continues to strengthen investors risk appetite, thus helping to gain a stronghold for the greenback. US CB Consumer Confidence data rose to 121.7 in April from 109 in March, beating market expectations that stood at 113. I am expecting the green back to weaken in the next weeks because of inflationary pressure that coming from the Commodities Market ( Lumber, Platinum, Steel)
On the other hand, Japanese policymakers kept short-term key rates unchanged at -0.1%, as widely expected on Tuesday, and cut its consumer inflation forecast to 0.1% from earlier predictions of 0.5%. Retail Sales increased by 5.2% on a yearly basis in March. However, the concerns of lower inflation expectations, and thus the lower interest rates, overshadowed the good sales number. As said, the Japanese government is ready to impose strict measures and limit many businesses from operating to curb the rising coronavirus infections in the continent. Investors are now ready to place bets on the yen.
On the technichal side, the Price is retracing from 0,38 to 0,23 Fibu, and it was rejected. The price now is moving down side and it started to form a channel, I am expecting a movement down to 0,61 Fibu level.
Do not hesitate contacting me if you have any Questions!