JPY started the final week of 2014 with continued weakness this morning even as Japanese stocks marked small gains in the early half of the day. Dollar-yen opened at Y120.36 while euro-yen started at Y146.67. Dollar-yen held in a tight Y120.34 to Y120.45 raneg in the early hours of the morning and then took a trip up north for a high of Y120.61. According to dealers, minor demand from Japanese names initiated the early gains before euro-yen gains then helped to power the pair further up. The cross rallied from a Y146.51 low and broke through Y146.70 and topped out at Y146.98 before easing again. Early afternoon market action saw euro-yen retrace further to Y146.67 while dollar-yen fell to Y120.31 as Japanese stocks started the second half of the day on a softer note. Euro-yen was last at Y146.64 while dollar-yen was at Y120.30. Ahead, immediate dollar-yen support is noted at the Y120.10/00 region while resistance is noted around Y120.80, ahead of offers toward Y121.00.
