USD/JPY slides below mid-107.00s, fresh session low

USD/JPY once again met with some fresh supply near the 107.75-80 region.
Concerns about rising COVID-19 cases benefitted the safe-haven Japanese yen.
A subdued USD price action did little to influence or lend any support to the pair.

Haresh Menghani FXStreet

The USD/JPY pair failed to capitalize on its early uptick, rather met with some fresh supply and dropped to session lows, around the 107.45 region in the last hour.

Following the previous day's intraday pullback from weekly tops, the pair managed to regain some positive traction during the Asian hours on Wednesday but once again struggled to make it through the 107.75-80 supply zone.

Investors remained cautious amid concerns about the ever-increasing number of new coronavirus cases. This coupled with the possibility of renewed lockdown dampened prospects for a sharp V-shaped global economic recovery.

This, in turn, extended some support to the safe-haven Japanese yen and capped any meaningful upside for the USD/JPY pair. Meanwhile, a subdued US dollar demand also did little to impress bulls or influence the price action.

The pair has now retreated around 25 pips from daily tops, albeit remains well within this week's trading range. This makes it prudent to wait for some follow-through selling before positioning for any further downfall.

There isn't any major market-moving economic data due for release from the US. Hence, the broader market risk sentiment and the USD price dynamics might continue to play a key role in producing some trading opportunities.

Technical levels to watch

USD/JPY

Overview
Today last price	107.48
Today Daily Change	-0.04
Today Daily Change %	-0.04
Today daily open	107.52

Trends
Daily SMA20	107.23
Daily SMA50	107.41
Daily SMA100	107.82
Daily SMA200	108.4

Levels
Previous Daily High	107.79
Previous Daily Low	107.25
Previous Weekly High	108.16
Previous Weekly Low	107.04
Previous Monthly High	109.85
Previous Monthly Low	106.08
Daily Fibonacci 38.2%	107.58
Daily Fibonacci 61.8%	107.45
Daily Pivot Point S1	107.25
Daily Pivot Point S2	106.97
Daily Pivot Point S3	106.7
Daily Pivot Point R1	107.79
Daily Pivot Point R2	108.06
Daily Pivot Point R3	108.33

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

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