26 Sep 2013
USD/JPY reverses daily gains
FXstreet.com (Córdoba) - The USD/JPY reversed early gains during the European session and dropped back below the 99.00 mark, weighed by Fed's Lacker comments and Japan pension panel.
Lacker and pension panel put USD/JPY under pressure
The USD/JPY had rallied to a high of 99.10 during the Asian session amid renewed talk of a corporate tax cut and speculation about Japan's public pension reforms.
A panel charged with proposing a revamp of Japan's Government Pension Investment Fund (GPIF) - the world’s largest public pension fund - met Thursday, but the statement offered little detail and lacked of any direct suggestion on yen diversification, putting USD/JPY back under pressure.
The USD/JPY selloff was fueled by FOMC Lacker comments, saying US growth unlikely to accelerate anytime soon and that it is difficult to taper in October 'without losing face'.
USD/JPY technical levels
USD/JPY pulled back from above 99.00 back to the 98.50 zone within the last minutes, where it is trading at time of writing, still 0.1% above its opening price. Immediate supports are now seen at 98.25 (daily low), 98.00 (psychological level) and 97.75 (Sep 18 low), while resistances could be found at 99.10 (daily high) and 99.65 (Sep 20 high).
Lacker and pension panel put USD/JPY under pressure
The USD/JPY had rallied to a high of 99.10 during the Asian session amid renewed talk of a corporate tax cut and speculation about Japan's public pension reforms.
A panel charged with proposing a revamp of Japan's Government Pension Investment Fund (GPIF) - the world’s largest public pension fund - met Thursday, but the statement offered little detail and lacked of any direct suggestion on yen diversification, putting USD/JPY back under pressure.
The USD/JPY selloff was fueled by FOMC Lacker comments, saying US growth unlikely to accelerate anytime soon and that it is difficult to taper in October 'without losing face'.
USD/JPY technical levels
USD/JPY pulled back from above 99.00 back to the 98.50 zone within the last minutes, where it is trading at time of writing, still 0.1% above its opening price. Immediate supports are now seen at 98.25 (daily low), 98.00 (psychological level) and 97.75 (Sep 18 low), while resistances could be found at 99.10 (daily high) and 99.65 (Sep 20 high).