Leveraged demand lifted dollar-yen to Y80.18 on release of encouraging labour data, the rate stalled and eased back on cross supply. Late trade saw dollar-yen nudge higher again to Y80.20 and settle in a tight range. Euro-yen closed at Y103.75, the rate recovered from a pullback low of Y103.60 after earlier lifting to highs of Y103.99 on release of US data. Dollar-yen opened in Asia at Y80.12 and ground higher through the Tokyo fix on broad dollar demand to Y80.29, before profit take sales eased. Late trade saw the rate nudge higher again to Y80.32 ahead of Europe. Resistance seen at Y80.34/38 (25 & 26 Oct highs), ahead of strong offers at Y80.40 with stops set. Euro-yen opened flat around Y103.70 and was tied to a narrow 15 pip range for the session, before late Swiss bank supply in euro-dollar pressed lower. The cross extended losses to print Y103.46, before dip demand led recovery attempts to settle around Y103.65. Traders look ahead to release of US October Non-Farm Payrolls at 1230GMT for further direction.
EasyForexNews Research Team