30 Apr 2015
USD/JPY recovers to 118.80
FXStreet (Mumbai) - The yen gave back partial gains versus the US dollar in the early European session, lifting USD/JPY to fresh session highs, after Bank of Japan’s (BOJ) Governor Kuroda echoes the same optimistic tune for the Japanese economy while downward revisions to the growth and inflation forecasts in its Semi-Annual outlook weighed on the yen.
USD/JPY rises from 118.50
Currently, the USD/JPY pair trades lower by -0.21% at fresh session highs of 118.81, quickly eyeing 119 handle. The USD/JPY pair erased partial losses as the yen was dragged lower after the BOJ downwardly revised its growth and inflation forecasts for the current and next fiscal year lower.
While BOJ press conference also failed to bring new surprises with the Governor Kuroda largely stuck to its statement that Japanese economy is recovering at a moderate pace and inflation trends are improving.
However, he did mention that the bank won't hesitate to adjust policy if there's change to price trend and there is no need to ease policy further now.
Earlier in the Asian session, USD/JPY dropped to 118.50 lows after BOJ left its monetary policy settings unchanged with one of the BOJ board members Kiuchi proposed tapering annual JGB purchases to 45 trln Yen, which was turned down by majority vote.
USD/JPY Technical Levels
To the upside, the next resistance is located at 119.20 (100-DMA) levels and above which it could extend gains 119.52 (20-DMA) levels. To the downside immediate support might be located at 118.50 (Today’s Low) below that at 118.30 (March 26 Low) levels.
USD/JPY rises from 118.50
Currently, the USD/JPY pair trades lower by -0.21% at fresh session highs of 118.81, quickly eyeing 119 handle. The USD/JPY pair erased partial losses as the yen was dragged lower after the BOJ downwardly revised its growth and inflation forecasts for the current and next fiscal year lower.
While BOJ press conference also failed to bring new surprises with the Governor Kuroda largely stuck to its statement that Japanese economy is recovering at a moderate pace and inflation trends are improving.
However, he did mention that the bank won't hesitate to adjust policy if there's change to price trend and there is no need to ease policy further now.
Earlier in the Asian session, USD/JPY dropped to 118.50 lows after BOJ left its monetary policy settings unchanged with one of the BOJ board members Kiuchi proposed tapering annual JGB purchases to 45 trln Yen, which was turned down by majority vote.
USD/JPY Technical Levels
To the upside, the next resistance is located at 119.20 (100-DMA) levels and above which it could extend gains 119.52 (20-DMA) levels. To the downside immediate support might be located at 118.50 (Today’s Low) below that at 118.30 (March 26 Low) levels.