2 Sep 2013
USD/JPY consolidating above 98.40 zone
FXstreet.com (Chicago) - USD/JPY trades stronger at the opening of Tokyo’s journey with a Nikkei 225 up 0.24% so far. The pair consolidates above 98.40 zone after long stretch to regain 98.00 zone last week.
Stronger dollar
Market participants seemed to have react to Japanese data releases with capital spending coming flat at 0% vs. expected -2.1% and previous -3.9%. Capital spending excluding software was 1.4% vs. estimates at -3.8% and past -5.2% while company sales were -0.5% vs. past -5.8% and company profits printed +24% vs. prior +6.0%. At 5:00 GMT, Japan is to release vehicle sales for August. In the US, President Barack Obama will seek Congress support to attack Syria after key allies like the UK voted against military intervention. The markets will be closed in the American country due to Labor Day holiday.
USD/JPY Technical Levels
Technically speaking, the pair extends bullish momentum to consolidate above 98.00 zone after run-away gap at opening indicates heavy selling. The pair reached 98.49 session highs (double top last August 28th) and trades at 98.42. On the downside, supports are aligned at 98.40 (August 23rd lows), 98.11 (August 16th highs) ahead of 97.85 (August 28th lows) while resistances are set at 98.73 (August 24th highs), 98.93 (July 17th lows) and 99.14 (August 23rd highs). According to the FXstreet.com trend index the pair is slightly bullish on one-hour timeframe analysis
Stronger dollar
Market participants seemed to have react to Japanese data releases with capital spending coming flat at 0% vs. expected -2.1% and previous -3.9%. Capital spending excluding software was 1.4% vs. estimates at -3.8% and past -5.2% while company sales were -0.5% vs. past -5.8% and company profits printed +24% vs. prior +6.0%. At 5:00 GMT, Japan is to release vehicle sales for August. In the US, President Barack Obama will seek Congress support to attack Syria after key allies like the UK voted against military intervention. The markets will be closed in the American country due to Labor Day holiday.
USD/JPY Technical Levels
Technically speaking, the pair extends bullish momentum to consolidate above 98.00 zone after run-away gap at opening indicates heavy selling. The pair reached 98.49 session highs (double top last August 28th) and trades at 98.42. On the downside, supports are aligned at 98.40 (August 23rd lows), 98.11 (August 16th highs) ahead of 97.85 (August 28th lows) while resistances are set at 98.73 (August 24th highs), 98.93 (July 17th lows) and 99.14 (August 23rd highs). According to the FXstreet.com trend index the pair is slightly bullish on one-hour timeframe analysis