USDJPY – US Dollar Broke All Shackles Vs Japanese Yen
Aayush Jindal
USDJPY – US Dollar Broke All Shackles Vs Japanese Yen
Key Highlights
The US Dollar surged higher recently against the Japanese yen and broke a couple of important resistance levels.
There was a monster bearish trend line formed on the 4-hours chart of the USDJPY pair, which was broken during the upside move.
The Japanese Unemployment Rate which comes from the Ministry of Health, Labour and welfare and published by the Japan Statistics Bureau posted a rate of 3% in July 2016.
The Japanese Retail Trade released by the Ministry of Economy, Trade and Industry posted a decline of 0.2% in July 2016.
USDJPY Pair Technical Analysis
The US dollar surged higher recently against the Japanese yen and broke a couple of key resistances to register gains. It looks like the trend has changed for the USDJPY pair.The pair rocketed higher, and during the upside move broke the 100 simple moving average on the 4-hours chart and a bearish trend line. There was even a close above the 23.6% Fib retracement level of the last drop from the 106.54 high to 99.57 low.We can consider that the pair failed to settle below the 100 level, and bounced. It may continue to move higher and buying dips can be considered in the near term.
Japanese Unemployment Rate
Today in Japan, there were a few important releases. The Unemployment Rate which comes from the Ministry of Health, Labour and welfare was published by the Japan Statistics Bureau. The market was expecting the percentage of unemployed in Japan to remain at 3.1% in July 2016.The outcome was positive, as there was a decline from 3.1% to 3% in the Japanese Unemployment Rate.
Japanese Retail Trade
The Japanese Retail Trade, which captures the aggregate sales made through a business location (usually a store) was released by the Ministry of Economy, Trade and Industry.The forecast was slated for a decline of 0.9% in the trade in July 2016, compared with the same month a year ago. However, the result was positive, as the decrease was only 0.2%.Moreover, in terms of the yearly change, the Japanese Retail Trade declined 0.2%, compared with the last decrease of 1.3% (revised). Overall, the result was positive, but it failed to help the Japanese yen in the short term.
The pair rocketed higher, and during the upside move broke the 100 simple moving average on the 4-hours chart and a bearish trend line. There was even a close above the 23.6% Fib retracement level of the last drop from the 106.54 high to 99.57 low.We can consider that the pair failed to settle below the 100 level, and bounced. It may continue to move higher and buying dips can be considered in the near term.