- Limited tours on low volume Fridays, prior to the holidays.
- USD / JPY lost momentum after hitting 114.50, the highest in four weeks.
USD / JPY is trading sideways around 114.35, on a low volume session. Hours ago, the pair rose to 114.50, the highest in four weeks. The dollar operates with mixed results on Friday, without relevant data ahead and in a context of low volume.
Most of the stock markets are not operating this Friday and neither is the Treasury bond market, which may continue to favor lateral movements in the coming hours, until the formal closing of operations.
El USD / JPY is consolidating gains from its price a week ago. Although it did not mark new highs for this year, the weekly close is on track to be the highest since February 2017.
The USD / JPY trend continues to be bullish, although since October it has been with lateral movements, mostly between 113.00 and 114.00. The dollar is about to make the third consecutive weekly profit, which can anticipate more rises. To do this, it must decisively move away from 114.50. In the opposite direction, a fall below 113.70 would take time out of the dollar, while a close at levels below 112.50 would point to lower levels.
From the fundamental point of view, the dollar continues to be propped up by the expectation of a monetary tightening of the Federal Reserve, which would even bring interest rate hikes next year and a more passive Bank of Japan. Thursday’s data showed inflation remains high in the US, with the core price index for personal consumption spending hitting highs in decades. This situation is expected to continue to put pressure on Fed officials.
Technical levels
.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
