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CB Consumer Confidence and New Home Sales Data Lift USD/JPY

Today we had consumer confidence and new home sales data from the US. 

Conference Board's Consumer Confidence for June came in at 85.2, up from a previous reading of 82.2, which was revised down from 83.0. Economists' forecasts were around 83.6. As you can see from the historic chart below, confidence level has recovered to the highest level since January 2008.


(source: forexfactory.com)

New Home Sales (annualized) for May came in at 504K. April's reading was 425K, revised down from 433K. The forecast for May was around 442K. This increase in new home sales is in-line with recent data showing improvement in the housing market in terms of increased inventory, construction, mortgage rates stabilizing, and generally better home sales conditions. The 504K reading is the highest since the same read for April 2010.


(source: forexfactory.com)

USD/JPY popped up from below 102 to 102.15 following the US data. As you can see in the 1H chart, the pair is still within a triangle pattern. The moving averages are clustered as reflect this directionless market in the 1H chart. A break above 102.20 pivot should clear above the falling trendline and open up a bullish outlook toward the high of the triangle at 102.80.

(usdjpy 1h chart, 6/24)