Japanese PPI Effect

Chapter 29 Japanese PPI Effect

JPY PPI MoM: The Japanese PPI MoM is Expected to Come at 0.5% with a 0.1% Decrease from the Previous Result

Summary:

The Japanese economy might show some weakness after releasing the PPI data on 12-12-2022 at 3:50 AM (GMT +4) with an expected result of 0.5%. USDJPY might touch the 138.00 level today.

Recommended Entry Price:

USDJPY

Entry Price: 136.40

Target Price: 137.50

SL Price: 135.90

1. Fundamentals

Japan will release the PPI report for November on December 12, 2022. The PPI is one of the major monthly indicators that affect the market widely, it measures the price movement of domestically produced and domestically used goods with sample prices collected either from the producer or wholesales of these goods. A higher-than-expected data is bullish for the JPY, and lower-than-expected data is bearish for the JPY. The data is expected to come at 0.5% rather than the previous result of 0.6% which is bearish for the JPY. Bulls might interfere with the USDJPY pair after the release of this data.

USDJPY is currently trading at 136.539 and might show very high volatility during the day not only because of the Japanese PPI data but also because of the worldwide tensions, the U.S & China cold war, and the war in Ukraine

Major traders are holding their positions on USDJPY for further increases in prices.

2. Technical Analysis

USDJPY Daily Chart

Japanese PPI Effect-Pic no.1