USD/JPY Struggles to Avoid Losses as BOJ Hesitates to Intervene
is working hard to avoid losses as Bank of Japan policy officials rule
out FX market interventions and talk about 100 levels in the pair.
Hovers around 110.30
The spot is now trading around 110.30 levels after having clocked a high of 110.64 levels. Japanese PM Abe ruled out FX interventions as a means to stall the rise in Yen, while another political bigwig in Japan talked about economy’s tolerance to 100 levels.
Yen bulls are relentless and with no major data due for release, there is little hurdle other than rally in oil and stock markets that could shift the momentum in favor of bears.
USD/JPY Technical Levels
The immediate hurdle is seen at 110.68 (Mar 17 low), above which prices could rise to 111.00 levels. Next major resistance is seen at 111.77 (Feb 23 low). On the other hand, a break below 110.00 would trigger further unwinding of JPY shorts leading to a sharp drop to 108.00 (Sep 2014 low). Below the same next support is seen at 106.65 (50% of 2011 low-2015 high).
(Market News Provided by FXstreet)