FxWirePro: USD/JPY Daily Outlook

Chart - Courtesy Trading View 

USD/JPY was trading 0.08% higher on the day at 144.52 at around 05:55 GMT.

The pair is extending sideways grind, hovers around 5-DMA. Major trend remains bullish.

Upbeat Japanese data has failed to show any impact. Improved risk appetite of investors is capping upside in the pair.

Data released earlier today showed Japan’s Unemployment Rate has remained in line with the estimates of 2.5% but lower than the prior release of 2.6%. 

While the Jobs/Applicants Ratio has improved to 1.32 vs. the projections of 1.30 and the former print of 1.29.

Meanwhile, the Retail Sales data has improved significantly to 4.1%, higher than the forecast of 2.8% and the prior figure of 2.4%. 

Also, Industrial Production has accelerated to 5.1% from a decline of 2% on an annual basis.

Focus on the core Personal Consumption Expenditure (PCE) price index data, which is seen higher at 4.7%, 10 bps above the prior release.

Also, awaited is the US Michigan Consumer Sentiment Index (CSI) data which is expected to remain steady at 59.5.

Break below 5-DMA support (144.50) will see dip till 21-EMA (142.79). Major weakness only below 21-EMA.