Trial now

Bearish Extension


CZK Consolidation Continues This Morning


EURPLN Testing Its 100DMA Support

Sign up now for free access to this content.

Please enter your details below and select your areas of interest.

USD/JPY ground higher Monday, as firmer risk appetite sapped strength from the yen. That being said, the rate stuck to the prior trading day's range and eked out only a modest gain come the end of play. It is worth noting that the latest goings-on surrounding Japan's upcoming election generated some fresh uncertainty on the political front.

  • Japan's ruling LDP is facing increasing headwinds ahead of the general election slated for this coming Sunday. The party lost an upper house by-election in Shizuoka, while broadcaster FNN published a poll which suggested that the LDP may lose outright majority in the House of Representatives. Even if that scenario came to fruition, the LDP would be able to form a government with current coalition partner Komeito.
  • Japan's data highlights during the remainder of this week include retail sales (Thursday) as well as Tokyo CPI, unemployment & flash industrial output (Friday). In addition, the BoJ will deliver their monetary policy decision on Thursday.
  • USD/JPY last seen at Y113.73, little changed on the day. Bulls need a break above Oct 20/ 2021/Nov 6, 2017 highs of Y114.70/73, before taking aim at Mar 10, 2017 high of Y115.51. On the flip side, a dip through Sep 30 high of Y112.08 (a recent breakout level) would shift focus to Oct 8 low of Y111.51.