USD/JPY Current Price: 108.57

  • An escalating global trade war sent investors toward safety.
  • Japan November Jibun Bank Services PMI foresee at 50.4 from 49.7 previously.
  • USD/JPY bearish, room to extend its decline below the 108.00 threshold.

Risk aversion maintained the Japanese yen strong this Tuesday, with the USD/JPY pair falling to 108.47, its lowest in over a week. The market ran for safety following comments from US President Trump, menacing France with tariffs and later saying that he likes the idea of “waiting until after the election for the China deal, but they want to make a deal now and we will see whether or not the deal is going to be right.”  Most Asian and European indexes closed in the red, while Wall Street extended its decline with the DJIA down over 300 points for the day. Meanwhile, the yield on benchmark 10-year Treasury note fell to 1.69% after topping at 1.85%, settling around the mentioned low.

Japan published November Monetary Base, which increased by 3.3% YoY, better than the 2.6% anticipated by the market. This Wednesday, the country will release the Jibun Bank Services PMI, foreseen in November at 50.4 from the previous 49.7.

USD/JPY short-term technical outlook

The USD/JPY pair is oversold in the short-term, but given that is trading measly 10 pips away from its low, the risk remains skewed to the downside. In the 4-hour chart, the 20 SMA maintains its sharp bearish slope after crossing below the larger ones, as technical indicators bounced modestly but remain in overbsold territory.

Support levels: 108.45 108.10 107.75

Resistance levels: 108.65 109.00 109.30

View Live Chart for the USD/JPY

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.

Analysis feed

Latest Forex Analysis

Editors’ Picks

GBP/USD off 7-month highs, still firmer as Tories hold the lead

GBP/USD retraces from the new seven-month highs of 1.3180 but remains strongly bid, as weekend polls have reaffirmed a solid lead for PM Johnson's Conservatives. Cable dropped on Friday amid upbeat US data.


EUR/USD steadying above 1.1050 amid upbeat German export data

EUR/USD is trading above 1.1050, attempting a recovery after Germany reported an increase in exports in October. EUR/UDS dropped sharply on Friday amid upbeat US Non-Farm Payrolls and weak German industrial output. 


Forex Today: US-Sino trade tensions prevail, Boris closer to victory, EUR/USD licking its wounds

Trade talks: President Donald Trump has called on the World Bank to stop lending to China, a move that may aggravate tensions, with only six days to go until Washington is set to slap new tariffs on Beijing. Negotiations continue.

Read more

Gold clings to modest gains above $1460 level, lacks follow-through

The latest NFP report surpassed most optimistic estimates, which provided a goodish intraday lift to the US dollar and eventually prompted some aggressive selling around the dollar-denominated commodity.

Gold News

USD/JPY in search of a firm direction, stuck in a range above mid-108.00s

USD/JPY was seen oscillating in a narrow band and consolidated last week’s losses. US-China trade uncertainties continued underpinning the JPY’s safe-haven status. Investors now seemed reluctant ahead of the latest FOMC monetary policy update.


Forex Majors