USDJPY fails to assert itself above 140.00

• The dollar trades with mixed results on Friday.
• The yen rises modestly on a calm day.
• USDJPY sideways, between important technical levels.

USDJPY is falling on Friday and bottomed at 139.63, before bouncing towards 140.00. The pair fails to establish itself above 140.00 and maintains a lateral direction, in a day without major price variations in the currency market.

Calm days?

In Japan it was known on Friday that the Consumer Price Index went from 3% to 3.7%, and that the index without food reached 3.6%, the highest in 40 years.

In the US, the economic calendar will gradually take center stage after the inflation and retail sales figures. The data will be published on Friday sale of existing homes, which is expected to go from 4.71 million to 4.38 million (annual). Next week highlights the minutes of the last Federal Reserve meeting. It will be a week limited by Thanksgiving.

The latest statements by Federal Reserve officials were those of James Bullardpresident of the Fed who stated that the terminal interest rate should be between 5 and 5.25%, a higher level than his previous estimates.

Looking ahead to the next few hours, the Treasury market and what happens on Wall Street may be the key for the USDJPY. In any case, the calm shown by the markets favors the continuity of the lateral routes in the pair.

The USDJPY upside remains capped at 140.50/75, which is the key resistance. In the opposite direction, 139.60 now emerges as critical support and a drop below would add weakness, although another area of ​​containment appears at 139.00. A daily close below 138.50 would be a sign of bearish continuation, while above 140.95 (100-day moving average) would ease the pressure against the dollar.

technical levels