For the 24 hours to 23:00 GMT, the USD declined 0.69% against the JPY and closed at 108.16.
Macroeconomic data showed that Japan’s flash leading economic index unexpectedly eased to a level of 99.3 in November, compared to a reading of 99.6 in the previous month. Market participants had envisaged the index to record a steady reading. Moreover, the nation’s flash coincident index fell to a level of 103.0 in November, meeting market expectations. In the prior month, the index had registered a reading of 104.9.
In the Asian session, at GMT0400, the pair is trading at 107.87, with the USD trading 0.27% lower against the JPY from yesterday’s close.
The pair is expected to find support at 107.46, and a fall through could take it to the next support level of 107.06. The pair is expected to find its first resistance at 108.63, and a rise through could take it to the next resistance level of 109.40.
Going forward, investors would closely monitor Japan’s trade balance (BoP basis) and overall household spending, both for November, set to release overnight.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.