COZ Forex: For the past trading session to 23:00 GMT, the USD strengthened 0.07% against the JPY and closed at 78.48, after the release of the better-than-expected consumer sentiment report for October. In the Asian session, USD/JPY is trading at 78.46, with the USD trading marginally lower from Friday’s close.

According to a report released by Thomson Reuters and the University of Michigan, consumer sentiment in the US unexpectedly showed a notable improvement in October, with the consumer sentiment index reaching a five-year high.
Separately, the Japanese government on Friday lowered its assessment for the economy for a third straight month. Over the weekend, the Bank of Japan Governor, Masaaki Shirakawa said that the central banks providing liquidity to financial markets in times of crisis is important to restoring stability, backing recent moves by global central banks to pursue strong monetary easing.

USD/JPY is predicted to find its first resistance at 78.55 and a rise through could take it to the next resistance line of 78.64. Meantime, the pair is predicted to find support at 78.33, and a fell through could take it to the next support line of 78.20.

The currency pair is trading above its 20 Hr and 50 Hr moving averages. (Coz Forex UK)


COZ Forex Chart:

USDJPY, 161012.jpg