BOJ Meeting in Focus, USD/JPY Daily Key Support at 107.00

USD/JPY is holding key support at 107.00, but caution is advised...

Japan flag

The Bank of Japan will start a two-day monetary policy meeting later today, and is widely expect to maintain its benchmark interest rate unchanged at Negative -0.100%.

Meawnwhile, Japanese Finance Minister Taro Aso said this morning that he would expect the central bank to support financial market stability and corporate finance.

USD/JPY: Daily Chart

Source: GAIN Capital, TradingView

Concerning the technical analysis for USD/JPY, the pair has managed to hold the key support at 107.00. 

In fact, it remains at levels below both 20-day and 50-day moving averages. Therefore Caution is still advised. 

Trading above the key support at 107.00, the pair still stands chances of looking up at resistance levels at 108.65 and 109.40 on the upside. 

Alternatively, a clear break below 107.00 would make the pair search for support at 105.85 on the downside.

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