USDJPY Analysis 29.01.2019

The US dollar fluctuated in a tight range slipping towards the Asian session to see its rebound for the third session in five sessions from its highest since the end of last year 2018 against the Japanese yen amid a lack of economic data by the Japanese economy and on the eve of developments and economic data expected Tuesday by the US economy Which includes the launch of the meeting of the Federal Committee in Washington.

At 05:51 GMT, the US dollar was down 0.03% at 109.32, compared with the opening levels at 109.35 after the pair hit its lowest level since January 18 at 109.27. The session is trading at 109.36.

The markets are currently looking for the US economy to release the consumer confidence index, which may reflect the contraction of the widening to 124.6 compared to 128.1 last month, as attention is drawn to the launch of the meeting of the Federal Open Market Committee today and tomorrow Wednesday, which is expected to be maintained through the prices Interest rate between 2.25% and 2.50% and move forward in reducing bond buybacks by $ 50 billion per month.

Technical Analysis

The USD / JPY pair is testing the 109.16 level and remains stable above it, while Stochastic is providing positive signals now, supporting the continuation of the bullish correction scenario, awaiting a visit to 110.24 as the next key target.

Keep in mind that a break of 109.16 will halt the expected rally and pressure the price to drop again, with negative targets starting at 108.09.

The trading range for today is expected among the key support at 108.60 and the resistance at 110.24

Support and resistance:

Support: 109.16- 108.10-106.82

Resistance: 109.83-110.73

The general trend for today is bullish