Block of macroeconomic data of Japan which was published this morning, has led to increased pessimism regarding the future of the country's economy . Thus, the balance of payments deficit rose in December to 0.20 trillion. yen against the expected figure 0.06 trillion. yen. The consumer confidence index unexpectedly declined in January to 40.5, against the growth forecast to 43.9.
It is worth mentioning that in general the policy of Prime Minister Abe Shinzo aimed at fighting deflation gives positive results. Basic consumer price index in December rose to 1.3%, while the target level remains at 2.0%.
Due to the loose monetary policy of the Bank of Japan, we remain positive long-term outlook for the pair USD/JPY. Target levels in case of further growth will be the upper limit of the downward channel and resistance levels 103.00 and 103.50
Wish you the profits!
FXFINPRO Capital Analytical department.