USD/JPY snaps 7-day winning streak, drops below 121.00 levels

By FXStreet FXStreet (Mumbai) – The USD/JPY pair appears poised to end its 7-day winning streak as it fell to an intraday low of 120.90 in Europe after having failed to take out 121.50 in Asia.

200-DMA support breached

At the time of writing, the pair was trading below 120.97 (200-DMA). The USD weakness was triggered in Asia after Aussie spiked on account of an interest rate cut in China. Moreover, the dovish ECB and rate cut from China has left little room for the hawks at the Fed.

Next on the cards is the US housing data. Meanwhile, the action in the European stock markets would be tracked by the Yen traders.

USD/JPY Technical Levels

The immediate support is seen at 120.85 (hourly 50-MA), under which the pair could drop to 120.36 (hourly 100-MA) and 120.32 (50-DMA). On the higher side, resistance is seen at 121.50 (daily high) and 121.94 (100-DMA).
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Source:: FX Street