Not a promising start for USD/JPY, its going into the Tokyo open on Monday morning pretty close to its lows for recent moves. It looks like ‘sell rallies’will be the theme for today.
We’ve got an economic data point coming up at 2350GMT (Tertiary Industry Index, preview coming up). JGB futures open then too, with the Tokyo Stock Exchange opening ten minutes later at 0000GMT. Expect movements in the Nikkei to continue impacting on USD/JPY. the Nikkei should open weak again today.
USD/JPY resistance 0.9480 and thereabouts. Support … is there any? Some bottoms on the charts not too far from here, 94.00 and just below. Orders on the books are light for this time of week, I expect it will thicken up a little during the day but liquidity to remain less than usual given the extra volatility we are seeing.
