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24 Apr 2013
Forex: USD/JPY well bid during Asia session, focus remains on 100.00 level
FXstreet.com (Barcelona) - The USD/JPY closed the day up 7 pips at 99.37. The pair traded in a wide range, initially selling off after the China PMI data, and then ducking as low as 98.48 during the European session after the German PMI release. However, dip buyers stepped in at this level and the pair drifted higher much of the afternoon. USD/JPY is well bid thus far in the Asia session, up another 34 pips at 99.70.
The economic calendar out of Japan is light with some analysts looking to monitor flows in order to interpret the next move. According to Eamonn Sheridan of Forex Live: “To the topside there are still big offers at 100.00, and just ahead of there the option-related selling interest is still active. Above 100.00 buy stops kick in, with sell orders around 99.50 (these are in play at the moment). To the downside Initial bids are located at 98.85/90, with more solid bids at 98.45/55.”
The RSI (14) indicator remains in bullish set up on the daily chart, sitting just above the 60 level and maintain the 40-80 bullish zone. Short term moving averages are also bullish with price above both the 9 and 20 day ma’s. Initial resistance remains the psychological 100.00 level, followed by 100.60 (resistance on weekly chart). First support sits at 98.55 (the 9 dma), followed by 97.35 (the 20 dma).
The economic calendar out of Japan is light with some analysts looking to monitor flows in order to interpret the next move. According to Eamonn Sheridan of Forex Live: “To the topside there are still big offers at 100.00, and just ahead of there the option-related selling interest is still active. Above 100.00 buy stops kick in, with sell orders around 99.50 (these are in play at the moment). To the downside Initial bids are located at 98.85/90, with more solid bids at 98.45/55.”
The RSI (14) indicator remains in bullish set up on the daily chart, sitting just above the 60 level and maintain the 40-80 bullish zone. Short term moving averages are also bullish with price above both the 9 and 20 day ma’s. Initial resistance remains the psychological 100.00 level, followed by 100.60 (resistance on weekly chart). First support sits at 98.55 (the 9 dma), followed by 97.35 (the 20 dma).