USDJPY analysis 13.01.2020

The US dollar fluctuated in a narrow range tilted to the upside during the Asian session, to witness its bounce for the third session in four sessions from the lowest since October 10 against the Japanese yen amid the scarcity of economic data earlier this week by the Japanese economy due to the coming day holiday in Japan On the cusp of developments and economic data expected on Monday by the US economy, the largest economy in the world.

At 05:59 am GMT, the US dollar pair rose against the Japanese yen by 0.14% to 109.64 levels compared to the opening levels at 109.49, after achieving its highest level during the trading session at 109.65, while achieving the lowest at 109.45, knowing, The pair started the trading session on an upward price gap after it concluded the trading last week at 109.45 levels.

Investors are currently awaiting the US Treasury’s unveiling of the federal budget reading, which may reflect the deficit shrinkage to $ 15.0 billion compared to $ 208.8 billion last November, while the markets are looking for later this week by the US economy to disclose data Inflation and retail sales account for about half of consumer spending, which accounts for more than two-thirds of US GDP.

Otherwise, today, Chinese Vice Prime Minister and head of the Chinese negotiating team in trade talks will travel to Washington for a visit that expires next Wednesday, according to the Chinese Ministry of Commerce. US President Donald Trump and Chinese officials are expected to sign the first stage of the trade deal Waiting for it between the United States and China, which aims to ease trade tensions between Washington and Beijing at the White House on the 15th of this month.

Technical analysis

The dollar against the yen trades stable above 109.33 level, to keep the positive scenario effective for the coming period, supported by the positive crossover signal provided by the stochastic indicator, waiting for the direction towards the 110.50 level as a next target.

We remind that breaking 109.33 will stop the expected rise and turn the intraday downtrend.

The expected trading range for today is between 109.00 support and 110.30 resistance.

Expected trend for today: bullish.