FXstreet.com (London) - Nikkei has pulled back this session from Year high, falling as low as 10600, and now trading at 10610.52 for a change of -0.22% on the session. Market commentators and newswire services are citing thin trade and inactive and reluctant market participants due what remains of the respite before 2010.
USD/JPY trades at 91.70, almost flat. While the pair will usually move somewhat in sync with the Nikkei due to the Yens effect on exporting heavyweights in the index, this was not the case this session.
JPY remains flat on the session, indicating the drift in the Nikkei is not coming from major moves in exporters.
In the unlikely case of a breakout or sharp move in the session, Valeria Bednarik, collaborator at Fxstreet.com, guides us on the technicals: Hourly charts show indicators flat, with price above 20 SMA acting as dynamic support for the pair. Bigger time frames indicators are also flat, not giving clear clues; however, an acceleration above 91.85 highs area, likely to open doors for further upside runs in the pair, with 92.40 as next key level yo watch.