USD/JPY: downside pressures continue, target 111.00

By FXStreet USD/JPY was sold-off in the open of Tokyo to a low of 112.25 and is recovering back into the 30’s at time of writing.

By the end of the U.S. session, USD/JPY had started to deteriorate below the midway point of the 112 handle having dropped below the 200 sma on the 1 hr sticks at 112.56 vs highs of 112.60, setting up a potentially bearish follow through for the early Asian shift.

However, we might be moving towards phase of consolidation given the profit taking that was done earlier, between 112.00 and 122.66 as market digest the current Yellen induced, negative dollar environment vs the positive ADP numbers that were supportive of the greenback until 112.67 supply.

Evans overtly dovish, but offered optimism – Westpac

Overnight, Evans came forward in the US session, speaking to CNBC first and then addressing delegates of the Forecasters Club in NY which aided the dollar to start making signs of a recovery.

USD/JPY levels

USD/JPY is back below the 20 ma at 112.80, and popped the 10 dma at 112.41 to make a fresh low of 112.25 for the Asian session revealing the 112.00 level for the session ahead. 111.00 …read more

Source:: FX Street