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29 Jul 2015
USD/JPY bids up to challenge 124 handle
FXStreet (Guatemala) - USD/JPY is currently trading at 123.95 with a high of 124.03 and a low of 123.32.
USD/JPY is trying to tai eon the 124 handle on the back of a better bid dollar after the FOMC which indicated that we are still on track for rates to rise. It said that it "anticipates that it will be appropriate to raise the target range for the Fed funds rate when it has seen some further improvement in the labor market…", as analysts at Brown Brothers Harriman pointed out and said that this was key.
USD/JPY bid, but Greek saga may continue and weigh
The Yen has been sold off of late as markets switched off concerns around the Greek saga as it continues to move towards a positive outcome, with the discussions of the bailout going well so far. However, these discussions between Greece and its creditors are set to step up a gear with the International Monetary Fund's lead representative arriving for talks and there is growing speculation that it will be hard to finalise the negotiations for a third bailout by the deadline that had been proposed for the 20th August. at the same time, this is the date when the €3.4bn payment is due from the Greek government to the European Central Bank. so perhaps further bridging loans may be required to prevent a yet a further default. So the Yen may be back in focus as one of the safer haven currencies of choice while some anticipate that we may be revisiting a Grexit again 2016.
USD/JPY is technically, further gains favoured
Valeria Bednarik, chief analyst at FXStreet explained that the 1 hour chart shows that the price is now above its 100 and 200 SMAs, whilst the technical indicators head sharply higher near overbought territory, favouring further gains. In the 4 hours chart the technical indicators also present strong upward slopes above their mid-lines, all of which should help in keeping the downside limited.
USD/JPY is trying to tai eon the 124 handle on the back of a better bid dollar after the FOMC which indicated that we are still on track for rates to rise. It said that it "anticipates that it will be appropriate to raise the target range for the Fed funds rate when it has seen some further improvement in the labor market…", as analysts at Brown Brothers Harriman pointed out and said that this was key.
USD/JPY bid, but Greek saga may continue and weigh
The Yen has been sold off of late as markets switched off concerns around the Greek saga as it continues to move towards a positive outcome, with the discussions of the bailout going well so far. However, these discussions between Greece and its creditors are set to step up a gear with the International Monetary Fund's lead representative arriving for talks and there is growing speculation that it will be hard to finalise the negotiations for a third bailout by the deadline that had been proposed for the 20th August. at the same time, this is the date when the €3.4bn payment is due from the Greek government to the European Central Bank. so perhaps further bridging loans may be required to prevent a yet a further default. So the Yen may be back in focus as one of the safer haven currencies of choice while some anticipate that we may be revisiting a Grexit again 2016.
USD/JPY is technically, further gains favoured
Valeria Bednarik, chief analyst at FXStreet explained that the 1 hour chart shows that the price is now above its 100 and 200 SMAs, whilst the technical indicators head sharply higher near overbought territory, favouring further gains. In the 4 hours chart the technical indicators also present strong upward slopes above their mid-lines, all of which should help in keeping the downside limited.