USD/JPY recovers early lost ground to weekly lows, back near mid-108.00s


  • Improving risk sentiment dented JPY’s safe-haven status and helped bounce off lows.
  • A modest rebound in the US bond yields underpinned the USD and remained supportive.
  • Traders now eye second-tier US economic releases for some short-term opportunities.

The USD/JPY pair managed to recover the early lost ground to weekly lows and is currently placed at the top end of its daily trading range, around mid-108.00s.

Despite persistent worries over a further escalation in the US-China trade tensions, a slight improvement in the global risk sentiment dented the Japanese Yen's safe-haven status and helped the pair to rebound from an intraday low level of 108.17.

The risk-on mood led to a modest bounce in the US Treasury bond yields, which extended some support to the US Dollar and further collaborated to the pair's intraday bounce of around 30-pips, albeit the recovery lacked any strong bullish conviction. 

Increasing bets that the Fed will move to ease monetary policy in coming months held investors from placing any aggressive USD bullish bets and seemed to be the only factor that might continue to keep a lid on any meaningful recovery for the major.

Hence, it would be prudent to wait for a strong follow-through buying before confirming that the pair might have already formed a near-term bottom around the 108.00 handle and positioning for any further recovery towards reclaiming the 109.00 round figure mark.

Thursday's US economic docket features the release of initial weekly jobless claims along with import/export prices, both due at 12:30 GMT and might produce some short-term trading opportunities later during the early North-American session.

Technical levels to watch

USD/JPY

Overview
Today last price 108.48
Today Daily Change -0.03
Today Daily Change % -0.03
Today daily open 108.51
 
Trends
Daily SMA20 109.14
Daily SMA50 110.38
Daily SMA100 110.52
Daily SMA200 111.26
Levels
Previous Daily High 108.58
Previous Daily Low 108.22
Previous Weekly High 108.62
Previous Weekly Low 107.81
Previous Monthly High 111.71
Previous Monthly Low 108.23
Daily Fibonacci 38.2% 108.36
Daily Fibonacci 61.8% 108.44
Daily Pivot Point S1 108.29
Daily Pivot Point S2 108.07
Daily Pivot Point S3 107.92
Daily Pivot Point R1 108.66
Daily Pivot Point R2 108.81
Daily Pivot Point R3 109.03

 

 

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. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News

Editors’ Picks

Bears ignore Aussie holidays, cheer coronavirus news at fresh multi-week low near 0.6815

AUD/USD drops to 0.6814, with an intra-day low of 0.6811, during the early Monday morning in Asia. The fears of China’s coronavirus outbreak are dominating the market’s risk sentiment off-late.

AUD/USD News

USD/JPY: Coronavirus bearish gap breaks below 109

USD/JPY has dropped heavily in the open, breaking below the 109 handle to print a fresh low of 108.88 as traders prepare for a risk-off week when considering the implications of the Coronavirus. 

USD/JPY News

Are you anxious about Coronavirus? Well, so are the markets

There's so much we don't know about Coronavirus, which increases the level of concern from public health officials, you & I as well as the markets and we can expect a risk-off start to the week ahead of a pretty major schedule.

Read more

Gold kick-starts the week with bullish gap-up to $1589 as coronavirus fuels risk aversion

Gold prices remain positive while taking rounds to $1,583, following the intra-day high of $1588.70 flashed at the week’s start. The yellow metal recently benefited from fears of China’s coronavirus outbreak.

Gold News

GBP/USD: 50-day SMA, 61.8% Fibonacci question sellers

Cable stays weak while declining to the intra-day low of 1.3068 by the press time of Monday’s Asian session. The pair registers 3 days losing streak while also forming a lower high pattern if observed its moves from Dec 2019 top.

GBP/USD News

Forex MAJORS

Cryptocurrencies

Signatures