USD/JPY daily RSI not confirmed new low

By FXStreet USD/JPY opened in Tokyo moving only 10 pips to the downside in what appears to be a quiet looking session ahead.

Overnight, the Brussels terror attacks was the catalyst for a short-lived flight to safetybefore the markets recovered and carried on as normal. The yen lost all the gains and the USD/JPY bulls took over, exceeding the opening highs for the overnight sessions, taking the price to 112.48 the high.

Fed’s Evans’s transformation from dove to hawk

From the US shift, Fed’s Evans changed his dovish tune. Speaking in Chicargo, he came across quite hawkish. “Chicago Fed president Evans said the latest dot plot projection (implying two more hikes in 2016) was a decent assumption. He saw 2016 growth between 2.0% and 2.5%, with domestic fundamentals good but global developments a drag. He expressed a “wait and see” approach regarding risk assessment before hiking again. Evans normally leans towards lower rates so it is interesting that he is happy to talk about 2 hikes this year, with markets only priced for one,” explained analysts at Westpac.

USD/JPY events to watch for

We now turn heads to the rest of the week’s scheduled events in US durable goods (Thursday 12:30 gmt), Q4 GDP …read more

Source:: FX Street