USD/JPY settles in a range around 118.50

FXStreet (Córdoba) - USD/JPY entered a consolidation phase at the beginning of the American session after bouncing off a 1-month low struck earlier on the day.

USD/JPY fell below the 50-day SMA and the 118 mark to hit a low of 117.73 before finding support and recovering ground. However, with the upside capped by the 118.85 zone, the pair was confined to a sideways phase during the last hours. At time of writing, the dollar-yen pair is trading at 118.40, virtually unchanged on the day.

On the data front, in the US a couple of confidence indicators and the redbook index are due during the New York session, but not first-tier data is scheduled.

USD/JPY technical levels

In terms of technical levels, USD/JPY resistances line up at 118.84 (daily high) and 119.00 (psychological level). On the other hand, supports are seen at 117.73 (2015 low Jan 13) and 117.00 (psychological level).

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