USD/JPY: outlook for August 15-21
USD/JPY spend the week in 102.50/101.00 range. The pair formed a slightly higher low this week. Demand for Japanese yen as a safe haven declined allowing the pair to hold ground. The overall downtrend remains in place. Weaker-than-expected US economic data on Friday represented a blow for the bulls. Decline below 101.00 will signal that the downtrend has resumed targeting 100.70 and 100.00. Resistance lies at 102.80, 103.90 and 105.00.
Japan will release Q2 preliminary GDP on Monday. Economists think that economic growth in Japan likely slowed in spring months due to weak private consumption. Also watch data from the US economic calendar while trading USD/JPY.