USD/JPY Price Analysis: 100-DMA challenges corrective pullback from weekly low

USD/JPY consolidates the heaviest daily fall in a month.
Downside break of five-week-old trend line keeps sellers hopeful.
Rising support line from late April becomes the key for a trend change.

Anil Panchal FXStreet

USD/JPY licks its wounds around 109.75, up 0.07% as Tokyo opens for Friday.

The yen pair dropped the most since August 13 the previous day while breaking one-month-old support, now resistance. The declines refreshed weekly low before the latest rebound from 109.62.

However, the upbeat Momentum line and 100-SMA, not to forget the trend line breakdown, keeps USD/JPY sellers hopeful in aiming the ascending support line from April 23, near 109.15.

However, 50% Fibonacci retracement of April-July upside, around 109.55, acts as a filter to the south-run.

Meanwhile, recovery moves beyond the 100-DMA level of 109.80 need to regain above the previous support line, at 109.90.

Even so, USD/JPY bulls remain skeptical unless crossing the weekly top of 110.45, which in turn will help buyers to challenge the last month’s peak of 110.80.

USD/JPY: Daily chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	109.74
Today Daily Change	0.03
Today Daily Change %	0.03%
Today daily open	109.71

Trends
Daily SMA20	109.83
Daily SMA50	109.99
Daily SMA100	109.78
Daily SMA200	107.93

Levels
Previous Daily High	110.29
Previous Daily Low	109.62
Previous Weekly High	110.42
Previous Weekly Low	109.59
Previous Monthly High	110.8
Previous Monthly Low	108.72
Daily Fibonacci 38.2%	109.88
Daily Fibonacci 61.8%	110.03
Daily Pivot Point S1	109.46
Daily Pivot Point S2	109.21
Daily Pivot Point S3	108.79
Daily Pivot Point R1	110.12
Daily Pivot Point R2	110.54
Daily Pivot Point R3	110.79

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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