For the 24 hours to 23:00 GMT, the USD declined 2.09% against the JPY and closed at 107.85.
On the data front, Japan’s industrial production slid 3.7% on a monthly basis in March, compared to a decline of 0.3% in the previous month. The preliminary figures had recorded a fall of 3.7%.
In the Asian session, at GMT0300, the pair is trading at 107.72, with the USD trading 0.12% lower against the JPY from yesterday’s close.
The pair is expected to find support at 107.34, and a fall through could take it to the next support level of 106.97. The pair is expected to find its first resistance at 108.09, and a rise through could take it to the next resistance level of 108.47.
Moving forward, traders would keep a watch on Japan’s adjusted merchandise trade balance for April and the Jibun Bank manufacturing PMI for May, slated to release overnight.
The currency pair is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.
