USD/JPY gently pulling back after big up day Thursday; resistance 99.52

FXstreet.com (Barcelona) - The USD/JPY rebounded sharply on conspicuous Yen weakness which began on Wednesday and continued on Thursday. Friday, traders will be reacting to BOJ Governor Kuroda’s speech.

USD/JPY traders to react to Kuroda and continue feeling the effects of the carry trade

One of the big factors in the ramp in USD/JPY Thursday was the Bank of Japan’s member Kiuchi – who is known for his normally hawkish attitude - suddenly sounding more dovish. Additionally, the power of the sudden build in the Japanese carry trade weighed heavily on the Yen.

Friday, USD/JPY traders will react to the words and tone of Bank of Japan Governor Haruhiko Kuroda when he gives a press conference to discuss Japanese monetary policy early in the session.

Technical outlook for USD/JPY

Technicians say the USD/JPY is in the middle of very short-term support at 97.76 and resistance at 99.52. They note that there is little edge to be had by the bulls or the bears until USD/JPY breaks through one of those boundaries.