FXStreet (Edinburgh) – The Kuroda-effect is now part of the markets’ memory, with USD/JPY advancing to fresh daily highs around 123.80, albeit easing to the 123.70 region afterwards.
USD/JPY attention to US retail sales
Spot remains on track to recover further ground lost on Wednesday’s deep sell-off, after comments by BoJ Governor H.Kuroda prompted the yen to advance to multi-day highs near 122.50 vs. the greenback.
Today’s positive performance of US Treasuries is sustaining the upside in the greenback so far, ahead of US Retail Sales and Initial Claims. Market consensus expects headline sales to leave behind the recent weakness and expand 1.1% MoM in May.
USD/JPY levels to consider
As of writing the pair is up 0.80% at 123.67 with the next resistance at the psychological level at 124.00 followed by 124.63 (high Jun.10) and then 125.59 (high Jun.8). On the flip side, a breakdown of 122.46 (low Jun.10) would aim for 121.73 (low May 26) and finally 121.45 (low May 25).
(Market News Provided by FXstreet)