Global macro overview for 11/04/2017:
FED Chairperson Janet Yellen gave an optimistic speech during Monday's meeting at Ford School, but her remarks did not provoke a greater response from the market. Yellen said that the economy is healthy, supported by consumers, and the unemployment rate is 4.5%, so is "a little below" full employment status. She added that the gradual pace of rate hikes in the short term "will lead us where we have to be", but pointed out that the bank did not intend to delay the response to economic developments. Moreover, she mentioned, that the FED's focus had shifted from a post-crisis exercise of healing the economy to sustain the economic gains. In conclusion, those remarks were old, known and not hawkish enough to trigger any impressive market reaction as its focus is now on global political tensions.
Let's now take a look at the USD/JPY technical picture in the H4 timeframe. The technical resistance at the level of 111.56 is still too strong for the bulls to be broken and there can not be a sustained rally towards the next technical resistance without a breakout first. The sideways trading continues as long as the level of 110.10 will provide the support.
