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23 Jun 2015
USD/JPY toppy? Uncertainty on Greece...
FXStreet (Guatemala) - USD/JPY is trading at 123.90 with a high of 124.19and a low of 123.33.
USD/JPY bulls have been picking up the pace and the pieces left behind form the initial bearish run left over from the 17th June price action when the major slid from 123.92. The major recovery ran in to supply on the 124 handle and has since fallen back to lows 123.63, while the bulls take over and test the upside once again.
We have another Eurogroup meeting tomorrow as negotiations continue but with a positive tone. The Yen is favoured in times of uncertainty and USD/JPY could be impacted as a result of the outcomes this week. EU's Junker is confident that something will be agreed this week, when he said this in the press conference post the EU summit yesterday. Just today, it was reported that the EZ finance ministers could approve a cash for reform deal as early as tomorrow and we await the outcome of the Eurogroup's meeting.
Greek risks to USD/JPY
Meanwhile the greenback is likely to be dragging its heals on its own domestic fundamentals on the back of the recent dovish FOMC statement that came last week. The FOMC have downgraded their forecasts of the Fed funding rate for 2016/17 by 25 basis points. In respect of the BoJ, we have a press conference this week from the Central Bank to keep ears on.
USD/JPY outlook uncertain
Technically, we are moving up from the confines of last week’s trading lows of 122.47. The bulls efforts are paying off. However, should uncertainties continue to pay out, the bears could take back control if so, a break of last week's lows would open avenues to 121.90/00 support, guarding 120.00 Major resistance comes as 124.10/15.
USD/JPY bulls have been picking up the pace and the pieces left behind form the initial bearish run left over from the 17th June price action when the major slid from 123.92. The major recovery ran in to supply on the 124 handle and has since fallen back to lows 123.63, while the bulls take over and test the upside once again.
We have another Eurogroup meeting tomorrow as negotiations continue but with a positive tone. The Yen is favoured in times of uncertainty and USD/JPY could be impacted as a result of the outcomes this week. EU's Junker is confident that something will be agreed this week, when he said this in the press conference post the EU summit yesterday. Just today, it was reported that the EZ finance ministers could approve a cash for reform deal as early as tomorrow and we await the outcome of the Eurogroup's meeting.
Greek risks to USD/JPY
Meanwhile the greenback is likely to be dragging its heals on its own domestic fundamentals on the back of the recent dovish FOMC statement that came last week. The FOMC have downgraded their forecasts of the Fed funding rate for 2016/17 by 25 basis points. In respect of the BoJ, we have a press conference this week from the Central Bank to keep ears on.
USD/JPY outlook uncertain
Technically, we are moving up from the confines of last week’s trading lows of 122.47. The bulls efforts are paying off. However, should uncertainties continue to pay out, the bears could take back control if so, a break of last week's lows would open avenues to 121.90/00 support, guarding 120.00 Major resistance comes as 124.10/15.