The need for safe haven has once again come into play pushing the USD to a fresh week low against the Yen. The market was once again fueled by risk aversion thus creating a demand for Yen. USD/JPY declined to 108.60 and closed at 108.77, with today’s candle aiming for fresh lows near 108.36.
The immediate support is at 108.36 followed by 107.74 and 106.96. Technical indicators are pointing lower with a target towards the yearly low at 108.12, while few other indicators are moving around the oversold territory.
USD/JPY will range during the mid-days only to rebound the indicators from over sold territory and then resume its decline. Traders are keen on watching this behavior of price pattern and trigger a sell on each range motion which tends to occur during the mid-day.
USD/JPY has also accelerated its decline below the 100 and 200 SMA in the 4 hours chart with clear motion towards the yearly lows. Scalpers as usual continue to pull their sell triggers on all smaller candles and minor pull backs.
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