The USD/JPY pair is growing a bit on Tuesday after reaching November’s lows.
The market is playing against the USD, thus making all other currencies stronger, and the Yen is not an exception. However, today the USD/JPY pair stopped falling and may try to stabilize. The current quote for the instrument is 110.69; the low of the previous several weeks is at 110.09.
Today, Shinzō Abe, the Prime Minister of Japan, refused to comment on the Japanese Yen behavior when asked by the journalists. Mass media at once interpreted this reaction as an extreme level of the national currency behavior dissatisfaction. The stronger the Yen is becoming, the more pressure is placed on the Japanese exporters. Earlier, the Export readings of Japan showed a significant improvement and might provide support to the country’s GDP.
Today, the macroeconomic calendar doesn’t feature much significant statistics, that’s why the market is likely to move “by itself”. The USD/JPY pair is trading inside a steady descending channel and, after a short pause, bears may continue pushing the pair to the downside.
Among other things, the USD’s vulnerability on all sides will continue making investors sell the pair.
RoboForex Analytical Department