USD/JPY plummets below 110.0 as US dollar retreats

USD/JPY extends the previous session’s losses on Friday.
Lower US Treasury yields undermine the demand for the US dollar.
Yen gains on its safe-haven appeal amid risk aversion.

Rekha Chauhan Independent Analyst

USD/JPY edges lower on Friday in the initial Asian session following the previous day’s sharp downside movement. The pair fell more than 100-pips as risk sentiment sours on the US and global growth jitters.

At the time of writing, USD/JPY is trading at 109.78, down 0.02% for the day.

The US Dollar Index (DXY) retreated from its 13-week high following the fall in the US 10-year benchmark yields as growth concerns lingered on over a slowdown in the US and global growth.

The US Treasury yields edged lower 1.30% on the expectations that Fed will not tighten monetary policy soon.

The US Initial Jobless Claims came at 373 K, above the market forecast. The readings showed that the labor market recovery remained far from the Fed's expectation.

Lower bond yields and soft economic data built pressure on the US dollar.

On the other hand, the Japanese yen gained on the global equity sell off. The negative sentiments around the equities and government bond yields supported the safer assets.

As for now, investors are waiting for the US Wholesale Inventories data to gauge the market sentiment.

USD/JPY additional levels

USD/JPY

Overview
Today last price	109.78
Today Daily Change	-0.84
Today Daily Change %	-0.76
Today daily open	110.62

Trends
Daily SMA20	110.54
Daily SMA50	109.77
Daily SMA100	109.1
Daily SMA200	106.75

Levels
Previous Daily High	110.82
Previous Daily Low	110.4
Previous Weekly High	111.66
Previous Weekly Low	110.42
Previous Monthly High	111.12
Previous Monthly Low	109.19
Daily Fibonacci 38.2%	110.65
Daily Fibonacci 61.8%	110.56
Daily Pivot Point S1	110.41
Daily Pivot Point S2	110.19
Daily Pivot Point S3	109.99
Daily Pivot Point R1	110.83
Daily Pivot Point R2	111.03
Daily Pivot Point R3	111.24

Author

Rekha Chauhan

Independent Analyst

Rekha Chauhan has been working as a content writer and research analyst in the forex and equity market domain for over two years.

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