The US dollar fluctuated in a narrow bullish range during the Asian session to see its rebound to its third straight session since the end of February against the Japanese Yen following a speech by the Fed Governor following the economic developments and data that followed on the Japanese economy and on the eve of developments and economic data expected today Tuesday by the US economy, the world's largest economy.
At 05:47 am GMT, the pair rose 0.14% to 111.37 from the opening level at 111.21 after recording a high of 111.45 and a low of 111.18.
The Bank of Japan revealed the manufacturing sector, which showed a drop to 7.3 versus a rise of 5.5 in the fourth quarter, in contrast to expectations of a contraction to 4.8. Business statistics for all industries By the Japanese central bank fell to a value of 1.7 versus a rise of 4.3 in the fourth quarter.
Today, we expect the US economy to release inflation data with the release of the Consumer Price Index (CPI), which showed a 0.2% growth versus stability at zero levels in January, while the core reading for the same indicator may show a 0.2% In January, the index's annual reading may also reflect a 1.6% growth stability.
The annual Core reading of the CPI may also show a 2.2% growth rate, unchanged from the previous January reading, before we see Federal Reserve Vice President and Federal Open Market Committee member Ellen Bernhard deliver a speech under Entitled "Updating the Law on Community Reinvestment" at the Fair Economy Conference of the Coalition for Reinvestment of National Society in Washington.
Technical Analysis
The USDJPY is trying to test the resistance at 111.37 and has not been able to break it until now as the moving averages are 7-20 levels of support as it moves below it and is, therefore, trying to give it a positive momentum to rise and test the resistance again.
The Stochastic is moving near the overbought area and forms a bearish cross between its lines, indicating a resistance strength of 111.37
Sideways movement tends to rise between 111.96 support and 111.37 resistance