The Dollar/Yen continues to range within the same price range since the beginning of the week as investors await the FOMC statement coming out of the US. The pair has been ranging for two weeks now as investors await a significant catalyst to guide them through their next trade. The Fed is expected to remain dovish but investors will focus on the level to which the Fed will be concerned/dovish. If the Fed sounds more dovish than before than that will decrease demand for the greenback and push the Dollar/Yen pair lower.
The Dollar/Yen continues to trade around the 13 and 50-period moving averages as a signal of indecision in the market. A less dovish Fed will help the pair break above the 109.50 resistance, paving the way for a rise towards 110.10. While a more dovish Fed will help the pair break below the 109.11 support, paving the way for a drop towards 108.59.
Support: 109.11 / 108.59
Resistance: 109.50 / 110.10