Japanese Yen Analysis 17-05-2019

The US dollar fell during the Asian session to rebound from its highest level since May 10 and is poised for its longest weekly losses since late 2008 against the Japanese yen following the economic developments and data that followed on the Japanese economy and on the eve of economic developments and data expected on Friday from Ahead of the US economy, the world's largest economy.   

At 05:55 GMT, the pair was down 0.19% to 109.64 compared to the opening levels of 109.85, after reaching its lowest level during the session at 109.60, while achieving a high of a week at 110.03.   

We followed the Japanese economy, the world's third-largest industrial country, to release industry data with the Tertiary Industrial Index reading, which showed a drop to 0.4% from 0.6% in February, above expectations of a 0.1% rise.   

On the other hand, investors are currently looking for the US economy to release the University of Michigan consumer confidence index, which may reflect a widening to 97.8 versus 97.2 last April, as consumers forecast inflation for one year to come and five years ahead, With the release of leading indicators that may reflect slowing growth to 0.2% versus 0.4% in March. 

The USD / JPY pair is back towards the pivotal resistance of 110.08, accompanied by the negativity of Stochastic for positive momentum and reaching overbought areas, while SMA 50 represents negative pressure against the pair.   

Therefore, these factors encourage us to continue to moderate the bearishness during the coming sessions, with the next key target at 108.80, while stability below 110.08 is an important condition for the continuation of the suggested decline.   

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