BOJ Keeps Interest Rate -0.10%, USD/JPY Shows Plunge!


 Asian investors are today awaiting the results of the central bank of Japan's policy meeting in the Asian session for clues on further monetary policy.

The Bank of Japan (BOJ) as expected kept interest rates unchanged at -0.10% and policy makers are seen not making any changes to existing policies.

The central bank is seen to be continuing to monitor current economic developments in Japan and expressed readiness to extend policy easing if needed.

The Yen reacted little after the meeting's outcome, seeing it weaken slightly against the US dollar before moving back flat.

Observed on the chart of the currency pair USD/JPY, the price which was flat at the level of 148.100 then slightly jumped to the level of 148.500 before decreasing to around 147.900.

A price movement that returns to the horizontal below the Moving Average 50 (MA50) barrier on the 1-hour time frame on the chart can give an early signal for a bearish price movement.

The MA50 barrier was tested on continued trading at the opening of the European session before prices posted a sharp dive towards the focus zone at 147.00.

If the price breaks below that zone, the bearish movement will continue towards around 146.00.

However, if the price manages to jump higher after this, the price increase is likely to surpass last week's high.

Next, the target for a higher move is towards the 150.00 zone to record a recent 9-week high.