The Japanese yen strengthened after the release of positive economic data

The yen strengthened against the dollar. It was published positive reports from Japan, and is a growing concern about the Greek negotiations supported demand for safe investments.The pair USD / JPY is up to the moment of writing the text recorded at the bottom of 123.20 and then consolidated at 123.38.The pair was likely to find support at 122.54 and resistance at 123.97, the high of Thursday.

Japan Official Data

Official data showed that household spending in Japan rose in May to 4.8% from 1.3% the previous month, while analysts expected growth of 3.5%, the first increase in spending since Japan lifted the rate of VAT and in April last year, in order to reduce the huge public debt. Tokyo Consumer Price Index was fell to 0.1% after rising 0.2%. It was in line with the forecasts of economist.

A special report showed that Japanese consumer price index rose of 0.1%% in May, and predicted growth of 0.0%, following an increase of 0.3% in the previous month.The Japanese Ministry of Internal Affairs announced that lower fuel prices and a decline in other energy costs limit inflation.Positive acted and the data on the unemployment rate in Japan.It has remained unchanged in May at 3.3%, which was in line with forecasts of economists.

The yen also rose against the euro, pound, the Swiss franc and Australian dollar. EUR / JPY fell to 138.26.GBP/JPY dropped to 193.95. CHF/JPY fell to 131.62 while AUD/JPY dropped to 94.57

USD/JPY Intraday Trading

124.58 resistance

124.27 resistance

123.94 resistance

123.17 last

122.99 support

122.66 support

122.48 support

USDJPY Intraday Trading Chart

USD/JPY jumped to level 124 almost 70 pips. RSI 14 days at 80% at 124 level price. Price didn’t break 100% retracement level. We can expect the next week to break first resistance level 123.94. Current price is 123.85. It can see double peak at 124 on Monday.

Conclusion

We could see reverse trend on USD/JPY. It was turning up trend. First it was consolidation in place and after trend correction.

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