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USD/JPY grinds to the upside Tuesday but remains stuck between support and resistance

FXstreet.com (Barcelona) - The USD/JPY spent Tuesday pretty much marking time until the big news flow starts up late in Wednesday’s session. The cross remains wedged between support at 98.37 and resistance at 99.97.

USD/JPY traders get to focus all their attention on the Fed on Wednesday

With questions remaining about the fate of the Fed Chairmanship, USD/JPY traders will continue to keep one eye on the news wires for meaningful updates on all things Fed-related. The actual scheduled news flow starts up at around 18:00 GMT with the FOMC’s interest rate decision and widely-anticipated tapering announcement. Perhaps equally important will be Bernanke's press conference at 18:30 GMT.

Technical outlook for USD/JPY

Technicians say the USD/JPY is in the middle of very short-term support at 98.37 and resistance at 99.97. 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.

EUR/USD is a sell on rallies - FXA

Looking at the EUR/USD near term, David Solin, who is the Founder of FXA, thinks "any further near term gains would likely be limited" on the basis of the following factors explained below.
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AUD/USD plunges to 0.9340 at Tokyo’s opening

AUD/USD succumbed to bearish pressure at the opening of Tokyo and the beginning of a new trading journey on a big day for the worldwide economies and shortly after the release of Australian data.
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