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USDJPY analysis 11.12.2020

The US dollar fluctuated in a narrow range that tends to decline during the Asian session, to witness its rebound for the second session from its high since the second of December against the Japanese yen amid a scarcity of economic data in the last sessions of the week by the Japanese economy and on the cusp of developments and expected economic data today, Friday from The American economy was before the largest in the world.

At exactly 07:04 GMT, the US dollar against the Japanese yen fell by 0.20% to 104.03 levels compared to the opening levels at 104.24, after the pair achieved its lowest level during the session's trading at 103.93, while it achieved its highest at 104.28.

Investors are currently awaiting the US economy for the release of the producer price index reading, which is a preliminary indicator of inflation, which may show a slowdown in growth to 0.1% compared to 0.3% last October, while the core reading of the same index may indicate that growth accelerated to 0.3% compared to 0.1%. The annual reading of the index may reflect an acceleration of growth to 0.8% compared to 0.5%, and the core annual reading shows an acceleration of growth to 1.1% against 1.5%.

Up to the disclosure of the preliminary reading of the University of Michigan Consumer Confidence Index, which may show a contraction of the breadth to a value of 76.1 compared to 76.9 last November. From the Corona pandemic worth $ 916 billion and that it was discussed with senators from the Democratic and Republican parties.

Technical analysis

  

The dollar against the yen rebounded significantly downwards yesterday, to stabilize below the resistance of the downside movement, and the price is still within the sideways range that appears in the picture, confined between the support 103.65 and the resistance 104.76, to continue suggesting the sideways movement in the intraday term until one of these levels is breached to set targets Following more clearly.

We mention that breaking the aforementioned support will push the price to continue the main bearish trend that initially targets 103.00 areas, while breaching the resistance will lead the price to achieve positive targets starting at 105.20, then 106.00.

The expected trading range for today is between 103.40 support and 104.75 resistance

The expected trend for today: sideways

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