For the 24 hours to 23:00 GMT, the USD rose 0.13% against the JPY and closed at 106.07 on Friday.
In the Asian session, at GMT0400, the pair is trading at 105.81, with the USD trading 0.25% lower against the JPY from Friday’s close.
As per the Bank of Japan’s (BoJ) Summary of opinions report, policymakers reiterated that the central bank needs to stick with its quantitative easing as inflation is still well below its 2.0% target.
In economic news, Japan posted an adjusted merchandise trade deficit of ¥201.5 billion in February, following a revised surplus of ¥352.3 billion in the prior month, while markets were anticipating the nation to register a deficit of ¥90.8 billion.
The pair is expected to find support at 105.53, and a fall through could take it to the next support level of 105.24. The pair is expected to find its first resistance at 106.17, and a rise through could take it to the next resistance level of 106.52.
Moving ahead, investors would keep a close watch on Japan’s final leading economic and coincident indices for January, scheduled to release tomorrow.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.