The US dollar fluctuated in a narrowly bullish range during the Asian session to see its rebound to its third straight session since May 15 against the Japanese Yen following developments and economic data that followed the Japanese economy, the third largest economy in the world and on the brink of economic developments and data expected Tuesday By the US economy, the world's largest economy, in conjunction with US President Donald Trump's visit to Tokyo.
At 05:59 GMT, the greenback was up 0.05% at 109.56 compared with the opening level at 109.51, after reaching a high of 109.63, while the lowest at 109.43.
We have followed the Japanese economy to reveal inflation data with the release of the annual PPI, which showed a slowdown in growth to 0.9% compared with 1.1% in March, contrary to expectations that indicated a rapid growth to 1.2%, and that we see the issuance of the annual reading Core CPI, which showed a rapid growth to 0.7% versus 0.5% in March.
On the other hand, investors are looking for the US economy to release housing data with the Housing Price Index reading, which may reflect slowing growth to 0.2% versus 0.3%, and the S & P House Price Index, which may show growth accelerating to 3.1% versus 3.0% in February, leading to the Consumer Confidence reading, which may reflect a widening of 130.1 vs. 129.2 in April.
In addition, the markets are looking forward to the visit of US President Trump to the second largest economy in Asia and the third largest industrial country in the world after the United States and China. The visit comes as part of a four-day international visit to Japan. Abe hopes to announce a trade agreement with Japan soon.
Technical Analysis
The pair is hovering around the 109.44 level, noting that Stochastic is losing its positive momentum to reach the overbought areas, supporting the chances of resuming the upcoming bearish trend for the coming period, which has the next target at 108.80.
SMA 50 supports the suggested bearish wave, which requires stability to remain below 110.08.
The trading range for today is expected among the key support at 108.80 and the resistance at 109.80.
The general trend for today is bearish.