USDJPY Analysis 25.03.2019

The US dollar fluctuated in a narrow upward range during the Asian session to see its rebound from its lowest level since February 8 against the Japanese Yen following developments and economic data followed Monday by the Japanese economy, the third largest economy in the world and amid the lack of economic data in the beginning This week by the US economy the world's largest economy.

At 05:53 am GMT, the pair rose 0.05% to 109.98 compared with the opening levels at 109.87 after the pair reached a high of 110.14 and a seven-week low of 109.71.

On the Japanese economy, the Industrial Activity Index showed a contraction of 0.2% from 0.6% in December, beating expectations of a 0.3% decline. Aso said last Friday that his country's economy is recovering well, adding that the government will increase the sales tax due in October.

The Japanese government announced earlier this month a 10-day holiday from Saturday (27 April) to Monday (6 May) for Japan's celebrations of the new emperor's accession there during the official holiday, Crown Prince at the beginning of May, and we wish to point out that this six-day holiday will be the longest in Japan's history.

Technical Analysis:

The USD / JPY pair rebounded strongly after retesting 110.76 in the last sessions, as the pair resumed its bearish path and approached our main target at 109.40, noting that breaking this level would extend the bearish wave to reach 108.80 directly.

Therefore, we will continue to bias the downside during the coming sessions unless 110.76 - 110.86 is breached and stability above it.

The trading range for today is expected among the support at 109.00 and the resistance at 110.40.

The general trend for today is bearish.