USDJPY analysis 30.12.2019

The US dollar fell during the Asian session to witness its lowest since December 13 against the Japanese yen amid the scarcity of economic data earlier this week by the Japanese economy and on the cusp of developments and economic data expected today Monday by the US economy, the largest economy in the world.

At exactly 05:50 am GMT, the US dollar pair fell against the Japanese yen by 0.29% to 109.13 levels compared to the opening levels at 109.45, after achieving its highest level in three weeks at 109.07, while achieving the highest during the trading session at 109.50.

Investors are currently looking for the US economy to release the merchandise trade balance index, which may explain the widening deficit to $ 69.2 billion, compared to $ 66.8 billion last October, before we witness the preliminary reading of the wholesale inventory index, which may reflect accelerated growth. To 0.2%, compared to 0.1% in October.

This comes before we witness the revelation of the reading of the Chicago PMI reading, which may reflect a contraction of deflation to 48.2 compared to 46.3 last November, up to the disclosure of housing market data with the release of existing home sales, which may show an increase of 1.5% compared to It fell 1.7% in October, while the annual reading of the same indicator may show that growth accelerated to 7.4% compared to 3.9%.

Technical analysis

The dollar versus yen pair opens today with a noticeable negativity to break 109.33 level and trying to stabilize below it, which stops the positive scenario suggested in our recent reports and puts the price under negative pressure, we expect to target the areas of 108.40 initially.

Therefore, a bearish bias will be favored for this day unless the price breaches the 109.33 level and holds above a daily closing above it.

The expected trading range for today is between 108.40 support and 109.70 resistance.

Expected trend for today: bearish.