The US Building Permits indicator, released monthly, measures the number of new residential permits issued. It provides analysts with important data about consumer demand as well as activity in the construction sector. A higher reading than the market prediction is bullish for the dollar. Here are all the details, and 5 possible outcomes for USD/JPY. Published on Tuesday at 12:30 GMT. Indicator Background The Building Permits indicator provides analysts and investors with a snapshot of consumer demand and the construction industry, both of which are important engines of economic growth, and catalysts for creating new jobs. In March, the indicator posted a reading of 0.72M, which was higher than the market forecast of 0.69M. These were the best figures recorded since October 2008. The markets are predicting little change, calling for a reading of 0.71M. Will the indicator again surpass the forecast in April? Sentiments and levels Although the Japanese economy is not performing well, the yen continues to be a safe haven currency for investors worried by the global slowdown and the dark clouds hovering over Europe. As well, there is a reasonable likelihood that the BOJ would intervene to protect the yen and prevent it from sliding below the 80 level. So, the overall sentiment has is neutral on USD/JPY towards this release. Technical levels, from top to bottom: 82.87, 81.80, 81.30, 80.60, 80, 79.50 and 78.30. 5 Scenarios Within expectations: 0.67M to 0.75M: In such a case, USD/JPY is likely to rise within range, with a small chance of breaking higher. Above expectations: 0.76M to 0.80M: An unexpected higher reading can send USD/JPY above one resistance level. Well above expectations: Above 0.80M: A sharp increase could propel the pair above a second resistance line. Below expectations: 0.62M to 0.66M: A reading lower than forecast could send USD/JPY below one support level. Well below expectations: 0.62M. Given the improving US economy, this scenario is unlikely. In this outcome, the pair would could break two or more support levels. For more on the yen, see the USD/JPY forecast. Kenny Fisher Kenny Fisher Kenny Fisher - Senior Writer A native of Toronto, Canada, Kenneth worked for seven years in the marketing and trading departments at Bendix, a foreign exchange company in Toronto. Kenneth is also a lawyer, and has extensive experience as an editor and writer. Kenny's Google Profile View All Post By Kenny Fisher Opinions share Read Next EUR/USD April 16 Spanish Concerns Spook the Euro Kenny Fisher 10 years The US Building Permits indicator, released monthly, measures the number of new residential permits issued. It provides analysts with important data about consumer demand as well as activity in the construction sector. A higher reading than the market prediction is bullish for the dollar. Here are all the details, and 5 possible outcomes for USD/JPY. Published on Tuesday at 12:30 GMT. Indicator Background The Building Permits indicator provides analysts and investors with a snapshot of consumer demand and the construction industry, both of which are important engines of economic growth, and catalysts for creating new jobs. In March, the… Top Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
