USDJPY Retreats for Second Day, On Weaker USD

USDJPY retreats today and briefly broke below the 108 level reaching the low at 107.85. The pair got a hit after Jerome Powell’s testimony yesterday the pressured USD across all majors. Earlier today in Japan the Tertiary Industry Index (month over month) came in at -0.2% below expectations of -0.1% in June. Foreign Investment in Japan stocks was up to ¥192.2B in July 5th, from previous ¥58.5B, while the Japan Foreign Bond Investment was down to ¥297.1B in July 5th from previous ¥514.3B.

USDJPY retreats for second day in a row and cancels the positive momentum that drove the price up to 109, a level that failed to breach yesterday. Immediate support for the pair stands at 107.85 the daily low while extra support will be met at 107.52 the low from July 3. On the upside first resistance stands at 108.27 the 200 hour moving average while a break above can drive prices up to 108.55 the 100 hour moving average. The US CPI data for June later in the day will add to volatility and drive the USDJPY price.Don’t miss a beat! Follow us on Twitter.