For the 24 hours to 23:00 GMT, the USD declined 0.88% against the JPY and closed at 109.18.
In the Asian session, at GMT0300, the pair is trading at 109.14, with the USD trading marginally lower against the JPY from yesterday’s close.
Overnight data showed that Japan’s overall household spending dropped 11.1% on a yearly basis in April, less than market forecast for a drop of 15.4% and compared to a fall of 6.0% in the previous month.
The pair is expected to find support at 108.76, and a fall through could take it to the next support level of 108.38. The pair is expected to find its first resistance at 109.38, and a rise through could take it to the next resistance level of 109.62.
Moving forward, traders would keep a watch on Japan’s coincident index and the leading economic index, both for April, slated to release in a few hours.
The currency pair is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.
