6 Nov 2013
USD/JPY drops following BOJ Minutes but holds ST correction support at 98.41
FXstreet.com (Barcelona) - So far, the USD/JPY cross has managed to hold its short-term “correction support” at 98.41 even after an initially bearish reaction to the release of the Bank of Japan’s monthly meeting minutes.
No surprises in BOJ minutes – outlook balanced between grwoth expectations and global risks
The highlights of the Bank of Japan’s monthly meeting minutes basically reiterated their already well-known outlook and stance towards monetary policy – which is that they are publicly hopeful / optimistic about returning to a more normal economic situation but that most of the risks remain on the low / no growth side rather than in an over-heating economy.
Technical outlook for USD/JPY
Technicians say USD/JPY broke above horizontal line resistance at 98.47 early last week– potentially opening up more upside for the cross. First support comes in at the aforementioned 98.41 level. Past that , Tuesday’s low of 98.16 is the next support. Resistance for USD/JPY comes in at Tuesday’s peak at 98.64 and is backed up by the 10/17 peak at 98.99.
No surprises in BOJ minutes – outlook balanced between grwoth expectations and global risks
The highlights of the Bank of Japan’s monthly meeting minutes basically reiterated their already well-known outlook and stance towards monetary policy – which is that they are publicly hopeful / optimistic about returning to a more normal economic situation but that most of the risks remain on the low / no growth side rather than in an over-heating economy.
Technical outlook for USD/JPY
Technicians say USD/JPY broke above horizontal line resistance at 98.47 early last week– potentially opening up more upside for the cross. First support comes in at the aforementioned 98.41 level. Past that , Tuesday’s low of 98.16 is the next support. Resistance for USD/JPY comes in at Tuesday’s peak at 98.64 and is backed up by the 10/17 peak at 98.99.