{"id":10525,"date":"2010-06-24T10:50:37","date_gmt":"2010-06-24T14:50:37","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=10525"},"modified":"2010-06-24T10:50:37","modified_gmt":"2010-06-24T14:50:37","slug":"usdjpy-sinks-below-90","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/06\/24\/usdjpy-sinks-below-90\/","title":{"rendered":"USD\/JPY Sinks Below 90"},"content":{"rendered":"<p><strong>By Fast Brokers<\/strong> &#8211; The USD\/JPY has tumbled below 90 as July\u2019s upper house elections come into focus.\u00a0 The most heated debate is surrounding a proposed increase in Japan\u2019s consumption tax.\u00a0 The consumption tax conversation represents a Japanese government which is becoming more hawkish by the day.\u00a0 Ratings agencies are putting Japan\u2019s feet over the fire while threatening to cut their debt ratings should the government not enact a sufficient plan for reducing the nation\u2019s debt-load.\u00a0 Naoto Kan has been leading the charge, stating that Japan\u2019s books will be balanced by 2020.\u00a0 Overall, Japan is becoming more conservative fiscally, resulting in a stronger Yen.\u00a0 Meanwhile, the Fed gave a darker outlook for the U.S. economy yesterday, reinforcing the central bank\u2019s loose monetary policy for an extended period of time.\u00a0 With Japan becoming more hawkish and the Fed staying dovish, the Yen has more than enough incentive to appreciate against the Dollar this week.\u00a0 However, we\u2019ve seen how influential 90 can be on the USD\/JPY, so it wouldn\u2019t be surprising to see the currency pair enter another one of its consolidation phases again shortly.\u00a0 Attention will shift to the U.S. with weekly unemployment claims and core durable goods data on the way.\u00a0 It will be interesting to see whether the USD\/JPY can manage to hold above 5\/20 lows or whether this downward movement swings towards 5\/6 lows.<\/p>\n<p>Technically speaking, the USD\/JPY faces multiple downtrend lines along with intraday and 6\/23 highs.\u00a0 The psychological 90 level now becomes a psychological barrier.\u00a0 As for the downside, the USD\/JPY has technical supports in the form of 5\/20 and 5\/6 lows.<\/p>\n<p>Present Price: 89.31<br \/>\nResistances: 89.35, 89.55, 89.67, 89.94, 90.12, 90.22<br \/>\nSupports:\u00a0\u00a0 89.10, 88.80, 88.53, 88.12, 87.84<br \/>\nPsychological:\u00a0 .90, June highs and May lows<\/p>\n<p><a href=\"http:\/\/www.fastbrokers.com\/commentary\/image\/June24Yen.png\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone\" src=\"http:\/\/www.fastbrokers.com\/commentary\/image\/June24Yen.png\" alt=\"\" width=\"595\" height=\"400\" \/><\/a><\/p>\n<p>(click chart to enlarge)<\/p>\n<p><em><strong>Market Commentary<\/strong><\/em> provided by <strong><a href=\"http:\/\/fastbrokers.com\/index.php?9f9043f9\" target=\"_blank\">Fast                                          Brokers.<\/a><\/strong><\/p>\n<p><strong>Disclaimer:<\/strong> FastBrokers\u2019 market commentary is                                          provided for information purposes only     and       under    no               circumstances        should            be    regarded     neither   as  an       investment        advice   nor   as a               solicitation     or      an    offer     to   sell\/buy       any           financial  product.          FastBrokers       assumes        no                 responsibility   or  liability      from  gains   or            losses         incurred by      the              information   herein         contained.<\/p>\n<p><strong>Risk Disclosure:<\/strong> There is a substantial risk of loss                                          in trading futures and foreign          exchange.        Please           carefully        review      all             risk   disclosure      documents    before         opening an        account         as   these           financial        instruments   are      not         appropriate      for all           investors.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Fast Brokers &#8211; The USD\/JPY has tumbled below 90 as July\u2019s upper house elections come into focus.\u00a0 The most heated debate is surrounding a proposed increase in Japan\u2019s consumption tax.\u00a0 The consumption tax conversation represents a Japanese government which is becoming more hawkish by the day.\u00a0 Ratings agencies are putting Japan\u2019s feet over the &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.investmacro.com\/fx\/2010\/06\/24\/usdjpy-sinks-below-90\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;USD\/JPY Sinks Below 90&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-10525","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/10525","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=10525"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/10525\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=10525"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=10525"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=10525"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}