USD/JPY Stays Weak as Anti Intervention Talks Continue
remains under pressure around 107.80 levels as present and Ex BOJ and
government officials maintain their “no intervention” stance.
Further easing won’t stop Yen rally – Ex BOJ Shirai
The latest to join the anti easing bandwagon is Ex-BOJ official Shirai who said the bank has little room left to cut rates further and further easing may not be able to stop the Yen rally. Similar comments have repeatedly hit the wires since last week, owing to which there is little motivation for Yen bears to try and catch the falling knife.
The pair clocked a low of 107.63 earlier today before trimming losses to trade slightly around 107.80 levels.
USD/JPY Technical Levels
The immediate resistance is noted at 108.38 (hourly 50-DMA), above which gains could be extended to 108.82 (5-DMA). A break higher would expose 109.27. On the other hand, a break below 107.63 (daily low) would shift risk in favor of a drop to 107.00. A violation there would expose 106.64 (38.2% of 2011 low-2015 high).
(Market News Provided by FXstreet)