USD/JPY losses ground to 122.20

FXStreet (Edinburgh) – The Japanese yen continues to appreciate vs. its American counterpart on Tuesday, now sending USD/JPY to session lows in the 122.20 area.

USD/JPY attention to Greece, JPY data

The yen continues to benefit from the increasing safe haven flows in the global markets, following the recent events in Greece and ahead of the critical referendum on the EU proposal to be held on Sunday. The rising risk aversion has prompted spot to leave the area of recent peaks near 124.30 last week, now on its way to test the key support at 122.00.

Adding to the yen strength, BoJ’s Takahashi has talked down the likeliness of further monetary stimulus in the domestic economy, while Governor Kuroda casted some doubts about the possibility of achieving the inflation target due to geopolitical risks overseas.

In the data space, US Consumer Confidence and the S&P/Case-Shiller index are due later, while the relevant Tankan indicator is due in Japan.

USD/JPY important levels

As of writing the pair is down 0.31% at 122.14 facing the next support at 122.00 (psychological level) ahead of 121.73 (low May 26) and finally 121.45 (low May 25). On the other hand, a breakout of 123.07 (high Jun.29) would open the door to 123.99 (high Jun.26) and then 124.37 (low Jun.24).

The Japanese yen continues to appreciate vs. its American counterpart on Tuesday, now sending USD/JPY to session lows in the 122.20 area…

(Market News Provided by FXstreet)