BOJ elect Kuroda in a hurry

<p>The overnight session was dominated by USD/JPY making a fresh yearly high of 96.71 with traders focusing on a report in the Japanese newspaper the […]</p>

The overnight session was dominated by USD/JPY making a fresh yearly high of 96.71 with traders focusing on a report in the Japanese newspaper the Nikkei sighting that BoJ elect Kuroda will hold an unscheduled policy meeting as soon as he is appointed on March 20th commenting that the BoJ must work quickly to fulfil the markets expectation. USD/JPY has held above the 95.00 now on a multi closing basis with the near term hurdle and target being the level of 100 but interestingly the monthly 30-year median level comes in around 127.00.

The rest of the FX space remains range bound as we sit just above the initial support levels in cable at 1.4870-80 and euro at 1.2950-60 following last Fridays strong US jobs report. I’m expecting continued consolidation today as we trade in a range environment with the data highlight today likely to come from the UK at 9.30am this morning in the form of industrial and manufacturing production data along with the UK’S trade balance. I will also be watching Chancellor Osborne taking questions in parliament at 11.30am this morning if for no more than the entertainment value from the grilling I’m sure he is going to receive.

 


EUR/USD

Supports 1.2960-1.2890-1.2865 | Resistance 1.3060-1.3085-1.3135


USD/JPY

Supports 96.00-95.50-95.00 | Resistance 96.60-97.50-97.80


GBP/USD

Supports 1.4865-1.4820-1.4765 | Resistance 1.4915-1.4950-1.5015

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