USDJPY TECHS: Gains Appear Corrective

• RES 4: 0.8557 High Apr 28  
• RES 3: 0.8541 High May 2 
• RES 2: 0.8493 High May 9  
• RES 1: 0.8441/59 50-day EMA and key resistance / High May 21 
• PRICE: 0.8422  @ 16:25 BST Jun 4 
• SUP 1: 0.8356 Low May 29 
• SUP 2: 0.8327 1.382 proj of the Apr 11 - 16 - 21 price swing
• SUP 3: 0.8316 Low Mar 28 and a key support
• SUP 4: 0.8277 1.618 proj of the Apr 11 - 16 - 21 price swing

A downtrend in EURGBP remains intact. A key resistance at 0.8442, the 50-day EMA, remains intact. It has been pierced, however, a clear break of it is required to highlight a stronger reversal. This would expose 0.8541. On the downside, support to watch lies at 0.8356, the May 29 low. Clearance of this level would resume the downtrend and open 0.8316, the Mar 28 low and a key support. 

Axios reports that Republican satisfaction with the “way things are going” is at a “near-record high”, while Democrats are “shadowed in gloom” according to survey data from CBS. 

• Axios notes: “79% of Republicans say they're satisfied, a near-record high. The outlook for Dems is bleak, with just 4% satisfaction. Partisan outlooks have changed far more dramatically than economic indicators.”
• Axios: “In September 2024 — just before Election Day — only 13% of Republicans felt at least fairly good about the economy, compared to 67% of Democrats, per a CBS News poll. Fast-forward to last week, and the tables have turned: 64% of Republicans said the economy is at least fairly good, compared to 22% of Democrats.”
• Economist-YouGov polling of U.S. adults between May 30 and June 2 showed that 57% of Republicans believe the economy is getting better, compared to just 8% of Democrats. Among those who voted for Trump in 2024, 61% think the economy is on the rise. Only 6% of Harris voters agree, per Axios.

Figure 1: “Share of Americans who say they are satisfied with the way things are going in the US” 

Source: Axios

No reaction in Treasuries, trading near recent session highs after Pres Trump posted on his social media platform that the debt limit "should be ended to prevent economic catastrophe". Trump has been a proponent of raising or eliminating the debt limit since his first term.