- The dollar is trading near 145.00 after it failed to achieve gains more than 146.20, and it is pressed by more softening US dollars and mixed American data.
- The total domestic spending in Japan’s march increased by 2.10 % on an annual basis, overcoming expectations, while the recession in the United States risks remaining with the Federal Reserve officials’ warning of persistent inflation.
- The main technical levels include support at 144.82, 144.79 and 144.49, with resistance in 146.16, 146.31 and 148.30.
The pair of the dollar/JPY fell to 145.00 after failing to extend the gains above the highest level in one month of 146.20 earlier in the day. The decline reflects a wider softening in the US dollar, which was severely reflected as investors re -evaluated the trade deal of the United States of America and looked at the US -Chinese negotiations this week in Switzerland. The US dollar index (DXY), which measures the value of the dollar against six main currencies, decreased to 100.30 after the peak at 100.86, which reflects doubt in the growing market about the strength of the recent American commercial agreements.
The American economic outlook remains mixed, as federal reserve officials highlight the danger of stagnation. Governor Bar recently indicated that high definitions can disrupt global supply chains, which increases inflation while slowing economic growth and raising unemployment. Nevertheless, the Atlanta model, which carries a gross domestic product, has maintained a strong growth estimate of 2.30 %, which reflects fixed optimism, albeit careful. However, the market is still cautious, as modern data indicates that the American economy may face the large opposite wind if commercial tensions escalate.
In Japan, the recent data was surprised by bullish roaming, with a total family spending increased in March by 2.10 % on an annual basis, much higher than 0.20 % expectations and reflected the decrease in the previous month -0.50 %. This improvement in consumer spending is a positive sign of the Japanese economy, which may reduce pressure on the Bank of Japan (BOJ) to interfere in the yen market.
Technical analysis
USD/JPY is currently trading near 145.00, with a declining bias, reinforced by many major technical signals. EMA indicates 50 days at 146.16 and 50 days SMA in 146.31 on both the declining pressure, as SMA does for 100 days at 150.46 and 200 days SMA in 149.57, which is still firmly in the sale area. SMA for 20 days in 143.17 provides some support, but momentum indicators are mixed, with RSI at 52.54 (neutral) and MACD, a purchase signal.
The main support levels of the husband are determined at 144.82, 144.79 and 144.49, while the resistance is located in 146.16, 146.31 and 148.30. A lower break from the level of 144.80 can increase the downside, while a recovery will be needed above 146.30 to confirm the bullish reflection.
Daily chart
