Forex Marketz Daily Forex News – Fully Markets Update
The U.S. dollar has gotten a boost from the monetary policy statement from the overnight decision from the Federal Reserve Board. Looking at the benchmark USD/JPY currency exchange rate price action, during the Asian trade session, has seen a high price point of 109.12 and is currently trading around 109.05 yen.
The dollar has also found support at the two hundred (200) hour simple moving average, as seen on the above hourly MT 4 price action chart.
Forex traders are digesting the outcome of yesterday’s monetary policy and rate decision from the U.S. Federal Open Market Committee (FOMC). The FMOC is the monetary policy arm of the Federal Reserve Board.
The Federal Reserve Board’s new Fed Funds Rate (FFR) was more dovish than anticipated and was combined with the usual dovish language in the Federal Reserve Board’s monetary policy statement. During his press conference, Federal Reserve Chair Jerome Powell was also overall dovish which has boosted overall risk appetite in the financial markets.
Today, dollar traders will be watching first time weekly unemployment claims from the Labor Department as well as weekly continuing jobs claims data. The monthly CB leading index and Philadelphia Fed manufacturing index is also being release.
Daily US Dollar Technical Analysis (USD/JPY)
Looking at the above USD/JPY price chart, the relative strength index is looking positive as this Forex market looks to challenge a downward sloping trend line from Monday in play at 109.30 yen.
With that said the first key upside barrier is the multi-day high price point at 109.36. The next layer of technical resistance lines up at the June 2020 high price point at 109.85.
On the downside, immediate support lines up at the two hundred (200) hour simple moving average. This level is at 108.85 yen. The next downside barrier lines up at 108.72 with last week’s low price point at 108.35 coming into play.
