Instrument: USDJPY
Technical Analysis
Bullish Preference:
Buy position is envisaged if price trades above 110.549 with take profit at 110.659.
Bearish Preference:
Sell position is envisaged if price trades below 110.256 with take profit at 110.118.
Fundamentals:
USD 1:30PM PPI m/m
Core PPI m/m
Unemployment Claims
Comment: The dollar edged lower in early European trading Thursday, as signs of cooling U.S. inflation relieved the pressure on the Federal Reserve to start reining in its massive bond-buying program. Fed Chair Jerome Powell has consistently said high inflation numbers will turn out to be transitory as the economy fully reopens, limiting the need to quickly tighten monetary policy, and these figures will provide some support to this view. That said, the weakness in the greenback is limited, with many analysts still expecting the Fed to announce a tapering of stimulus this year, potentially as soon as next month.
Analysis: SCRUM Team