For the 24 hours to 23:00 GMT, the USD rose 0.32% against the JPY and closed at 109.41.
In the Asian session, at GMT0400, the pair is trading at 109.44, with the USD trading marginally higher against the JPY from yesterday’s close.
Overnight data showed that Japan’s retail trade dropped 7.1% on a yearly basis in October, declining at its quickest pace in 4.5 years and amid increase in sales tax. Market participants had expected retail sales to register a fall of 4.4%. Retail trade had recorded a rise of 9.1% in the previous month. Moreover, the nation’s large retailers’ sales unexpectedly declined 8.2% in October, confounding market anticipations for a rise of 1.2%. In the prior month, larger retailers climbed 10%.
The pair is expected to find support at 109.15, and a fall through could take it to the next support level of 108.86. The pair is expected to find its first resistance at 109.67, and a rise through could take it to the next resistance level of 109.90.
Moving ahead, investors would await Japan’s unemployment rate and industrial production, both for October, scheduled to release overnight.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
