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4 Apr 2013
Forex: USD/JPY eyes 95.70 post-Kuroda announcements
FXstreet.com (Barcelona) - Governor H.Kuroda finally delivered, and yen-bears continue to celebrate! The increased weakness surrounding the Japanese yen is pushing the cross to fresh 2-week highs in the boundaries of 95.70, after the BoJ started its path towards the new 2.0% inflation target.
“The BoJ will now aggressively expand the monetary base (cash plus deposits at the BoJ), by 45% this year and a further 35% in 2014… This has to be seen as a regime change for USD/JPY and we now switch our bias to buy”, recommended Strategist Sean Callow at Westpac.
At the moment, the cross is advancing 2.64% at 95.50 and a surpass of 96.11 (high Mar.21) would open the door to 96.28 (high Mar.12) and finally 96.60 (high Mar.14).
On the downside, support levels line up at 92.72 (low Apr.3) followed by 92.57 (low Apr.2) and then 92.44 (low Mar.1).
“The BoJ will now aggressively expand the monetary base (cash plus deposits at the BoJ), by 45% this year and a further 35% in 2014… This has to be seen as a regime change for USD/JPY and we now switch our bias to buy”, recommended Strategist Sean Callow at Westpac.
At the moment, the cross is advancing 2.64% at 95.50 and a surpass of 96.11 (high Mar.21) would open the door to 96.28 (high Mar.12) and finally 96.60 (high Mar.14).
On the downside, support levels line up at 92.72 (low Apr.3) followed by 92.57 (low Apr.2) and then 92.44 (low Mar.1).