News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
GBP/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • *Reminder: Weekly Strategy Webinar tomorrow morning at 8:30am ET on DailyFX! https://t.co/lxd5fZ5LG7
  • (Weekly Fundy) Crude Oil May Rise as Covid Case Growth Slows. WTI Eyes OPEC Outlook, Evergrande #CrudeOil #WTI #OPEC #Evergrande https://www.dailyfx.com/forex/fundamental/forecast/weekly/title/2021/09/26/Crude-Oil-May-Rise-as-Covid-Case-Growth-Slows-WTI-Eyes-OPEC-Outlook-Evergrande.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/76e2aGf3p0
  • Recessions can devastate the economy and disrupt the fortunes of individuals, businesses, and investors. But economic decline in the business cycle is inevitable, and your trading can be defined by how you respond to crisis. learn how to prepare here: https://t.co/e4Cnoc1dk0 https://t.co/NhsMS1EY4b
  • We are heading into the final trading days for the month of September and event risk thins out amid the $SPX's rebound. This is what history says for the 39th week of the year and here is my take on the variable factors: https://www.dailyfx.com/forex/video/daily_news_report/2021/09/25/SP-500-and-Dollar-Have-Different-Views-for-Last-Week-of-September.html https://t.co/4OBVmrvI7I
  • Further your forex knowledge and gain insights from our expert analysts on AUD with our free guide, available today: https://www.dailyfx.com/free-trading-guides?ref-author=social#forecastschoices=AUD?QPID=30472&CHID=9 https://t.co/LHJi7CNFmM
  • $EURUSD https://t.co/KZyXX6p2oI
  • The ISM manufacturing index plays an important role in forex trading, with ISM data influencing currency prices globally. Find out about the recent history of ISM data, how to track it, and how to trade its release here: https://t.co/MZtBh8pYG3 https://t.co/1zNf5dpDjU
  • The continuity seen across these volatility cycles is a good thing. Historical precedence offer a blueprint for identifying conditions supportive for a vol-event to occur, and how they may unfold. Deepen your knowledge of historical volatility here: https://t.co/vg7w10la3j https://t.co/z8z6BNudn5
  • #PELOSI SAYS WE ARE GOING TO PASS THE INFRASTRUCTURE BILL THIS WEEK PELOSI SAYS SHE WILL NEVER BRING TO THE HOUSE FLOOR A BILL THAT DOESN'T HAVE THE VOTES TO PASS $USD $SPX $XAUUSD
  • Short-term uncertainties to keep the pressure on equity markets. Get your weekly equities forecast from @JMcQueenFX here: https://t.co/JLMDPZKvN8 https://t.co/YbdJnwoqj1
USD/JPY Capped By Former Support- Upbeat BoJ Risks Larger Decline

USD/JPY Capped By Former Support- Upbeat BoJ Risks Larger Decline

David Song, Strategist
USDJPY-Capped-By-Former-Support--Upbeat-BoJ-Risks-Larger-Decline_body_Picture_5.png, USD/JPY Capped By Former Support- Upbeat BoJ Risks Larger Decline

Fundamental Forecast for Japanese Yen: Neutral

The USDJPY pulled back from a fresh monthly high of 104.11 as the weaker-than-expected U.S. Non-Farm Payrolls report dragged on the dollar, and the pair may face a larger decline in the week ahead should the Bank of Japan (BoJ) continue to scale back its willingness to further expand its asset-purchase program.

Indeed, the BoJ is widely expected to preserve its current policy at the April 8 meeting as Governor Haruhiko Kuroda retains an upbeat tone for the Japanese economy, and the board may continue to endorse a neutral policy stance for the foreseeable future as a growing number of central bank officials see scope to achieve the 2% target for inflation as early as the end of FY 2014. With that said, we may see Governor Kuroda merely reiterate the policy statement from the March 10 interest rate decision, and the Yen may benefit from a less-dovish BoJ as market participants scale back bets for additional monetary support.

At the same time, it seems as though the value-added tax (VAT) will have a limited impact on the BoJ’s policy stance as Governor Kuroda continues to see a moderate recovery in Japan, and the central bank head may even sounds more hawkish this time around as the VAT raises the outlook for price growth. In turn, a more material shift in the policy outlook may highlight an improved outlook for the Japanese Yen, while a further decline in trader sentiment may also generate greater demand for the low-yielding currency as it benefits from risk aversion.

As a result, the USD/JPY may continue to give back the rebound from the end of March as former support (104.00 pivot to 104.15 38.2% Fibonacci expansion) now acts as resistance, and the pair may ultimately make another run at the 101.00 handle in April should the BoJ see scope to halt its easing cycle sooner rather than later. - DS

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES