USD/JPY stuck in familiar ranges

By FXStreet FXStreet (Guatemala) – USD/JPY was in supply post the BoJ staying on hold as the market expected and the Yen was a short-lived bid.

We remain in familiar ranges above the 200 SMA on the hourly sticks. “Still, market participants are unlikely to abandon the view that the BOJ at some point is going to have to implement some additional monetary easing, ” explained Derek Halpenny at Bank of Tokyo Mitsubishi.

“The semi-annual report basically highlights weak exports this fiscal year as the factor behind the downgrade to growth and is hence more about China and general demand abroad. Little else has changed in terms of projections. So Kuroda is really laying all the blame at factors outside his control – crude oil prices and external demand.”

USD/JPY levels

USD/JPY bulls need to fully exceed the 200 DMA en route to 20 SMA on the weekly at 121.90 that will be a strong area of resistance ahead of recent high of 121.43. To the downside, 120.20 and then 119.87, weekly 55 SMA come as supports ahead of 118.80, early Sep lows.
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Source:: FX Street