USD/JPY still under pressure, but holding above 121.00

By FXStreet FXStreet (Córdoba) – USD/JPY dropped sharply during the Asian session, falling from 2-week highs at 123.57. The decline found support at the 121.00 area that has become a key level to watch in the short-term.

Recently the pair attempted to recover ground but the bounce lost strength above 121.60 and it fell to test the 121.00 handle. Once again greenback managed to stay above and currently it trades at 121.55, a hundred pips below yesterday’s closing price.

The pair continues to consolidate between 121.00 and 121.60 ahead of the American session where no relevant economic reports from the US will be released.

JPY, the best performer

The Japanese currency is rising sharply on Friday across the board trimming weekly losses. After an initial negative reaction, the yen gained momentum and rallied following the announcements of the Bank of Japan related to its purchase program.

Also some risk aversion is boosting the yen. Stocks in Europe are falling. The Dax loses 0.96%, the FTSE 100 declines 0.39% and the CAC 40 is down 1.06%. Wall Street futures point to a mix opening while bonds yields are falling.
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Source:: FX Street