USD/JPY holds above 120.00, headed for weekly loss

By FXStreet FXStreet (Córdoba) – USD/JPY edged lower on Thursday and dropped to fresh 7-week lows in holiday-thinned trading with most markets closing earlier given the Christmas Eve.

USD/JPY has fallen for five days in a row now after the latest upside attempt was capped by the 123.55 area last week. The dollar bottomed out at 120.23, roughly at the same level it did on Nov 2, from where it recovered a tad. At time of writing, USD/JPY is trading at 120.32, still down 0.48% on the day and 0.74% lower for the week.

The greenback failed to benefit from US jobless claims data, despite US Labor Department reported the number of people filing for initial jobless benefits fell by 5,000 last week to 267,000.

USD/JPY levels to watch

In terms of technical levels, if USD/JPY breaks below the 120.20 zone next supports are seen at 120.00 (psychological level) and 119.60 (Oct 22 low). On the other hand, immediate resistances could be found at 120.97/121.00 (Dec 24 high/psychological level), 121.39 (100-day SMA) and 121.59 (200-day SMA).
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Source:: FX Street