• The USD/JPY retraced from daily highs of 120 pips, as the USD is being offered.
  • USD/JPY: Daily close below the 200-DMA opens the door for a drop to 131.70s.

The US Dollar (USD) gave away its earlier gains courtesy of upbeat economic data revealed in the United States (US) and dropped 0.52% against the Japanese Yen (JPY). At the time of writing, the USD/JPY is trading at 134.63, below the 200-day Exponential Moving Average (EMA), as the JPY gets ready to finish the week with gains of 3.26%.

USD/JPY Price Analysis: Technical outlook

The USD/JPY daily chart portrays the pair as downward biased after breaking the 200-day EMA and a five-month-old upslope support trendline. Nevertheless, upbeat US data exacerbated a rally toward Friday’s high of 135.98. However, the Relative Strength Index (RSI) at bearish territory and the Rate of Change (RoC) aiming lower showed that sellers were gathering momentum. Eventually, the USD/JPY erased those gains and some more.

If the USD/JPY achieves a daily close below the 200-day EMA at 134.99, it could pave the way for further downside action. The USD/JPY key support levels would be the psychological 134.00 figure. A breach of the latter could open the door for a 220 pip drop towards the August 11 low at 131.73, followed by August’s low at 130.39.

USD/JPY Key Technical Levels

USD/JPY

Overview
Today last price 134.68
Today Daily Change -0.63
Today Daily Change % -0.47
Today daily open 135.31
 
Trends
Daily SMA20 140.78
Daily SMA50 144.32
Daily SMA100 141.18
Daily SMA200 134.41
 
Levels
Previous Daily High 138.15
Previous Daily Low 135.21
Previous Weekly High 142.25
Previous Weekly Low 138.05
Previous Monthly High 148.82
Previous Monthly Low 137.5
Daily Fibonacci 38.2% 136.33
Daily Fibonacci 61.8% 137.03
Daily Pivot Point S1 134.3
Daily Pivot Point S2 133.29
Daily Pivot Point S3 131.36
Daily Pivot Point R1 137.24
Daily Pivot Point R2 139.16
Daily Pivot Point R3 140.17

 

 

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