USD/JPY: renewed Coronavirus fears shifts the emphasis back into yen strengthening [Video]

USD/JPY

It looked as though Dollar/Yen was gradually beginning to make the move towards a test of 110.30 resistance. However, renewed fears of the Coronavirus overnight have shifted the emphasis early in today’s session back into yen strengthening. However, if the improving technical are anything to go by, then this will be a short lived decline and support will form once more. There is a positive bias on Dollar/Yen. This comes as the market continues to build above 109.50/109.70 which is supportive. With momentum indicators positively configured and with further upside potential, we continue to favour upside for a near term test and break above 110.30. This positive outlook will remain whilst the market holds above the recent pivot at 109.25. Near term weakness is a chance to buy.