USD/JPY Price Analysis: Bears attack 104.00, four-month-old support line in focus
|- USD/JPY refreshes the lowest levels since March 12 while standing on the slippery near 104.20.
- Failures to bounce off 38.2% Fibonacci retracement, bearish MACD keep the sellers hopeful.
- Bulls need a clear break above 106.10 before regaining the controls.
USD/JPY prints half a percent loss while declining to 104.20 during the early Friday’s fall. The pair marks the seventh consecutive day of losses after declining below 50% Fibonacci retracement level of February-March downside. The south-run gains clues from the broad risk-off as well as the US dollar’s fresh fall to 26.5-month low. Additionally, bearish MACD adds strength to the pair sellers’ outlook.
While considering the aforementioned catalysts, the USD/JPY prices are dropping fast towards 104.00 round-figures before attacking a downward sloping trend line from April 01, at 103.65 now.
The 23.6% Fibonacci retracement level of 103.75 and March 10 low of 102.70 are extra filters to the pair’s further declines.
Alternatively, 38.2% Fibonacci retracement level near 105.40 and June month’s low around 106.10 could restrict the quote’s near-term advances ahead of 50% Fibonacci retracement level of 106.70.
USD/JPY daily chart
Trend: Bearish
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.