EUR/JPY, USD/JPY drop on yen strength while AUD/USD hits 19-month high
EUR/JPY, USD/JPY drop on yen strength following Japan ruling Liberal Democratic Party election while AUD/USD hits 19-month high.
EUR/JPY suddenly drops
EUR/JPY reversed its fortunes and dropped like a stone, weighed down by a strong yen rally following the results of the ruling Liberal Democratic Party election last Friday. Shigeru Ishiba, who is seen as less dovish than his rival Sanae Takaichi, won the leadership of Japan’s ruling party, effectively making him the next prime minister. Furthermore data released today showed that Japanese retail sales grew more than expected in August, while industrial production came in weaker-than-anticipated.
The 12 September high at ¥157.51 represents the next downside target, followed by the ¥155.15 mid-September low. Meanwhile resistance can be found around the ¥161.16 23 September high.
USD/JPY resumes its descent
USD/JPY topped out at ¥146.49 with the current September low at ¥139.59 being back in sight, were support at the ¥141.70 August low to give way.
Minor resistance can be spotted at the 25 September low at ¥142.90.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
Start trading forex today
Trade the largest and most volatile financial market in the world.
- Spreads start at just 0.6 points on EUR/USD
- Analyse market movements with our essential selection of charts
- Speculate from a range of platforms, including on mobile
Live prices on most popular markets
- Forex
- Shares
- Indices
