USDJPY Technical Analysis

Despite the rising Treasury yields and mixed Japanese data today, how does the USDJPY pair trade currently? Find out on the 30 January USDJPY Technical Analysis.

30 January, GKFX – The technical recovery in the USD/JPY pair ran out of steam at 109.07 earlier today despite the rising Treasury yields and mixed Japanese data.

Key Quotes

  • USD/JPY offered above 109.00
  • US 10-yr T-yield trades above 2.7 percent.

As of writing, the spot is trading at the session low of 108.80. The downward sloping 5-day MA seems to have played a spoilsport. Meanwhile, the 10-year treasury yield holds above 2.7 percent and is just short of the 3.5 year high of 2.727 percent set yesterday. Clearly, the hardening of the treasury yields is not helping the US dollar in Asia.

Also, better-than-expected Japanese retail sales data (actual 3.6% y/y vs. exp 2.2%) released earlier today may have helped boost demand for the Japanese Yen. The household spending 0.1% y/y in December vs. expected growth of 1.7%, but markets seem to have shrugged off the negative news.

Ahead in the day, the USD may find bids if the 10-year treasury yield rises above the previous day’s high of 2.727 percent.

30 January USDJPY Technical Analysis

The 4 hours chart shows that the advance has been so far corrective, with the potential of further gains limited at the time being, as despite the Momentum indicator entered in positive territory, is still at neutral levels, the RSI indicator has turned flat around 46, as the price continues developing far below bearish moving averages. The highs around 109.70/80 form a  resistance area that the pair needs to surpass to confirm a steeper recovery ahead.

Support levels: 108.70 108.25 107.90

Resistance levels: 109.35 109.75 110.10


This article 30 January USDJPY Technical Analysis was written by analysts at GKFX. The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you then this should be solely at your discretion and GKFX will not be held accountable in any way.

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