The US dollar fluctuated in a tight range slipping during the Asian session to see its rebound for the third session since December 20 against the Japanese Yen following developments and economic data that followed the Japanese economy, the third largest economy in the world and on the eve of disclosure of market data American housing amid the absence of the US market because of the Good Friday holiday there.
At 05:47 GMT, the pair dropped 0.05% to 111.91 compared to the opening levels at 111.98 after the pair reached a low of 111.90 and a high of 1122.01.
On the Japanese economy, we saw the National Consumer Price Index (NFP) annual reading, which showed growth accelerated to 0.5% in line with expectations compared to 0.2% in February, while the annual reading of the same index excluding fresh food excluding energy and fresh food accelerated growth to 0.8% compared to the previous reading and expectations at 0.7%, and stability at 0.4% is consistent with expectations.
On the other hand, investors are looking for the US economy to release data on the housing market with the reading of both the Construction Starts Index and Construction Permit, which may reflect a rise in March, where construction permits are expected to rise 0.7% to 1,300K. Compared to a drop of 1.6% at 1,296 thousand. Initial construction starts may also rise 5.9% to 1,230,000 versus 8.7% at 1,162 homes.
The USDJPY pair has been trading sideways and narrowly recently and remains steady below 112.12, noting that Stochastic is beginning to provide a negative cross signal on the four hour time frame, which is an incentive to wait for the pair to resume the expected bearish trend for the coming period, targeting Levels of 111.44 then 110.86 mainly.
Keep in mind that a breach of 112.12 will halt the expected decline and push the price to resume the bullish trend in the short term.
The trading range for today is among the key support at 111.10 and resistance at 112.60
The general trend for today is bearish