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9 Feb 2015
USD/JPY slightly lower on weak China data
FXStreet (Mumbai) - The Japanese Yen strengthened a bit against the US Dollar, taking the USD/JPY pair slightly below 119.00 levels after Chinese trade data showed further economic weakness in the world’s second largest economy.
Gains in the Yen capped by strong US data
The slight risk aversion triggered by the weak China trade data did result in a slightly stronger Yen. However, broader gains remain capped due to the sharp rise in the 10-year Treasury yield in the US witnessed on Friday. A better-than-expected jobs data in the US pushed the 10-year yield to 1.9655 from 1.8%.
Moreover, a weak china data did push the 10-yr yield lower, although the losses in the yield are being capped around 1.90%. The resilience in the treasury yield is capping gains in the Japanese Yen.
USD/JPY Technical Levels
The pair currently trades 0.35% lower at 118.70. The immediate support is located at 118.64 (50-DMA), under which the pair could test 118.27 (5-DMA) levels. On the flip side, the resistance is seen at 119.20 and 119.80 levels.
Gains in the Yen capped by strong US data
The slight risk aversion triggered by the weak China trade data did result in a slightly stronger Yen. However, broader gains remain capped due to the sharp rise in the 10-year Treasury yield in the US witnessed on Friday. A better-than-expected jobs data in the US pushed the 10-year yield to 1.9655 from 1.8%.
Moreover, a weak china data did push the 10-yr yield lower, although the losses in the yield are being capped around 1.90%. The resilience in the treasury yield is capping gains in the Japanese Yen.
USD/JPY Technical Levels
The pair currently trades 0.35% lower at 118.70. The immediate support is located at 118.64 (50-DMA), under which the pair could test 118.27 (5-DMA) levels. On the flip side, the resistance is seen at 119.20 and 119.80 levels.