The pair is down one other 0.6% in the present day to 147.46 at the moment, with the low earlier touching 147.25 and testing minor help at across the 147.30 mark. The important thing degree to look at amid the draw back push proper now remains to be the 100-day shifting common (purple line) at 146.55 at the moment as that may set the tone for whether or not or not the upside momentum since July will likely be damaged.
For now, the retreat in Treasury yields and the greenback’s fall alongside it’s persevering with to drive worth motion decrease and a push in direction of 145.00 is not out of the image in my opinion. The buck is in a somewhat precarious place as there are technical breaks in most greenback pairs proper now and that is suggestive of an additional decline within the forex.
And if the bond rally continues to assemble legs, that may set the tempo for USD/JPY to maintain pushing decrease. If the drop in the present day holds, it is going to mark the fourth straight day that the pair has eased decrease for the reason that finish of July. And that’s telling concerning the buck’s waning prowess for the time being.