The US dollar fluctuated in a narrow bullish range during the Asian session against the Japanese Yen following the developments and economic data that followed on the Japanese economy and on the eve of developments and economic data expected Wednesday from the US economy, the largest economy in the world.
At 05:42 am GMT, the pair rose 0.09% to 113.91 compared to the opening levels at 113.81 after the pair hit a session high of 113.99 and a low of 113.76.
We followed the Japanese economy to reveal the preliminary reading of GDP for the third quarter, which showed a 0.3% contraction in line with expectations versus 0.7% growth in the second quarter. The initial annual reading of the index showed a 1.2% contraction versus 3.0% growth, The annual reading of the index showed a contraction of 0.3% against stability at zero levels, worse than expected 0.1% contraction.
Technical analysis:
USD / JPY remains steady above 113.56, and continues to receive positive support from SMA 50, noting that Stochastic is shedding negative and approaching oversold areas.
Therefore, these factors encourage us to continue with the bullishness in the coming sessions, targeting 114.55 and 115.50 as the next major stops, noting that the continuation of the expected rally depends on stability above 113.56.
The trading range for today is among the key support at 113.50 and resistance at 114.70.
Support and resistance:
Support: 113.85-113.50;
Resistance: 114.10-114.50.
The general trend for today is bullish.