USDJPY Analysis 20.02.2019

The US dollar rose during the Asian session against the Japanese yen following the release of economic data by the Japanese economy, the third largest economy in the world and on the brink of developments and economic data expected Wednesday by the US economy, the largest economy in the world.

At 02:36 GMT, the USDJPY rose 0.26% to 110.84 compared to the opening levels at 110.59, after reaching the highest level at 110.91, while the lowest level during the session at 110.49

Japan's trade balance, which showed the deficit widened to 0.37 trillion yen from 0.22 trillion yen last December, was worse than the consensus forecast of 0.17 trillion yen. The revised trade balance showed a widening deficit to 1.45 trillion yen Yen against 0.06 trillion yen, also worse than expectations of a widening deficit to 1.03 trillion yen.

On the other hand, investors are waiting for the US economy to disclose the minutes of the Federal Open Market Committee meeting held on 29-30 January, during which monetary policy makers at the Federal Reserve kept short-term benchmark interest rates at 2.25% And 2.50% as the bond repurchase moves down by $ 50 billion per month

Technical Analysis

The USD / JPY pair is trading today with a bullish bias approaching the 111.00 barrier, reinforcing expectations for a continuation of the bullish trend expected for the coming period as the price is getting positive support from the SMA 50, with the next target at 111.56.

Stability above 110.24 is important for the continuation of the bullish wave, as breaching it will pressure the price to visit the areas of 109.16 initially before any new positive attempt.

The trading range for today is expected among the support at 110.24 and the resistance at 111.56

The general trend for today is bullish