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20 Aug 2015
USD/JPY remains capped below 124.00 after US data
FXStreet (Córdoba) - USD/JPY continues to trade within its daily range, unable to set short-term-direction, and having shrugged off the latest string of US data.
On the data front, US existing home sales rose 2.0% in July to 5.59 million, reaching its highest level since February 2007. Meanwhile, the Philly Fed manufacturing index rose to 8.3 in the same month, beating expectations of 7.0. Earlier, US jobless claims came in at 277K versus 272K expected, standing near low levels.
However, the dollar failed to benefit from strong data after the FOMC minutes didn’t leave clear if the Fed is ready to hike rates in September.
USD/JPY is currently trading at 123.90, 0.1% above its opening price, having recovered from a 3-week low of 123.68 scored on Wednesday. However, with the upside capped by 124.15, the pair has been confined to a phase of consolidation.
USD/JPY levels to watch
In terms of technical levels, USD/JPY could find immediate supports at 123.68 (Aug 19 low) and 123.60 (50-day SMA). On the other hand, resistances are seen at 124.15/20 (Aug 20 high/21-day SMA), 124.45 (Aug 19 high) and 124.61 (Aug 13 high).
On the data front, US existing home sales rose 2.0% in July to 5.59 million, reaching its highest level since February 2007. Meanwhile, the Philly Fed manufacturing index rose to 8.3 in the same month, beating expectations of 7.0. Earlier, US jobless claims came in at 277K versus 272K expected, standing near low levels.
However, the dollar failed to benefit from strong data after the FOMC minutes didn’t leave clear if the Fed is ready to hike rates in September.
USD/JPY is currently trading at 123.90, 0.1% above its opening price, having recovered from a 3-week low of 123.68 scored on Wednesday. However, with the upside capped by 124.15, the pair has been confined to a phase of consolidation.
USD/JPY levels to watch
In terms of technical levels, USD/JPY could find immediate supports at 123.68 (Aug 19 low) and 123.60 (50-day SMA). On the other hand, resistances are seen at 124.15/20 (Aug 20 high/21-day SMA), 124.45 (Aug 19 high) and 124.61 (Aug 13 high).