Japan's Exports Slump, USD/JPY Bullish Above 107.60

Japanese official data showed that exports declined 11.7% on year in March, Japanese yen has weakened past 107.60 to one dollar...


This morning, Japanese official data showed that Exports declined 11.7% on year in March, much more that a drop of 9.4% estimated.

Exports to the U.S. slumped 16.5%, and those to China were down 8.7%.

World-wide demand for cars, auto parts and other heavy machinery from the country was heavily impacted by the global coronavirus pandemic.

The Japanese yen weakened against the U.S. dollar after the data, falling past 107.60 to one dollar.

Source: GAIN Capital, TradingView

On an intraday 30-minute chart, USD/JPY has returned to levels above both 20-period and 50-period moving averages. In fact, it swung up to the upper Bollinger band keeping the intraday outlook as bullish. Trading above the key support at 107.60, the pair would encounter resistance at 107.95 and 108.10 on the upside

Alternatively, below 107.60, further support would be found at 107.40.

Build your confidence risk free

More from FX

Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.