Current trend
USD managed to win back the lost ground against JPY after a sharp decline yesterday morning, which was caused by the resignation of one of Donald Trump's key advisers on economic policy, Gary D. Cohn. Rollback of USD occurred against the background of American shares decline which was more gradual than expected, as a result, the pair managed to consolidate around 106.00 mark.
Macroeconomic news from the US yesterday was mixed: the trade balance deficit rose to -56.6 billion dollars, which is worse than the forecast of -55.1 billion dollars. At the same time, ADP's Employment Report in the private sector was positive for the USD. The increase in labor unit costs in Q4 2017 and the stability of labor productivity outside the agricultural sector also influenced the dollar positively.
Today one should pay attention to the data on change in initial jobless claims number from the USA (15:30 GMT+2). The market is expected to be moderately volatile.
Support and resistance
On the D1 chart the pair is moving in a lateral channel formed by the middle and bottom lines of Bollinger Bands. MACD histogram is in the negative zone keeping a signal for the opening of short positions.
Support levels: 105.50, 105.20.
Resistance levels: 106.20, 106.80, 107.30, 108.00, 108.50.
Trading tips
Sales orders may be opened from the current level with the target at 105.20 and stop-loss at 106.50 mark. Implementation period: 1-3 days.
Long positions may be opened from the level of 107.00 with target at 108.00 and stop-loss at 106.70. Implementation period: 3-5 days.
US Dollar vs Japanese Yen
Buy Sell Spread
106.118 106.096 22
Scenario
Timeframe Day's Range
Recommendations SELL
Entry Point 106.08
Take Profit 105.20
Stop Loss 106.50
Support levels 105.20, 105.50, 106.20, 106.80, 107.30, 108.00, 108.50
Alternative scenario
Recommendations BUY STOP
Entry Point 107.00
Take Profit 108.00
Stop Loss 106.70
Support levels 105.20, 105.50, 106.20, 106.80, 107.30, 108.00, 108.50
USD managed to win back the lost ground against JPY after a sharp decline yesterday morning, which was caused by the resignation of one of Donald Trump's key advisers on economic policy, Gary D. Cohn. Rollback of USD occurred against the background of American shares decline which was more gradual than expected, as a result, the pair managed to consolidate around 106.00 mark.
Macroeconomic news from the US yesterday was mixed: the trade balance deficit rose to -56.6 billion dollars, which is worse than the forecast of -55.1 billion dollars. At the same time, ADP's Employment Report in the private sector was positive for the USD. The increase in labor unit costs in Q4 2017 and the stability of labor productivity outside the agricultural sector also influenced the dollar positively.
Today one should pay attention to the data on change in initial jobless claims number from the USA (15:30 GMT+2). The market is expected to be moderately volatile.
Support and resistance
On the D1 chart the pair is moving in a lateral channel formed by the middle and bottom lines of Bollinger Bands. MACD histogram is in the negative zone keeping a signal for the opening of short positions.
Support levels: 105.50, 105.20.
Resistance levels: 106.20, 106.80, 107.30, 108.00, 108.50.
Trading tips
Sales orders may be opened from the current level with the target at 105.20 and stop-loss at 106.50 mark. Implementation period: 1-3 days.
Long positions may be opened from the level of 107.00 with target at 108.00 and stop-loss at 106.70. Implementation period: 3-5 days.
US Dollar vs Japanese Yen
Buy Sell Spread
106.118 106.096 22
Scenario
Timeframe Day's Range
Recommendations SELL
Entry Point 106.08
Take Profit 105.20
Stop Loss 106.50
Support levels 105.20, 105.50, 106.20, 106.80, 107.30, 108.00, 108.50
Alternative scenario
Recommendations BUY STOP
Entry Point 107.00
Take Profit 108.00
Stop Loss 106.70
Support levels 105.20, 105.50, 106.20, 106.80, 107.30, 108.00, 108.50