USD/JPY slumps to 6-month lows near 109.70

US 10-year T-bond yield drops more than 1%.
US Dollar Index fails to turn positive on the day.
Wall Street clings to modest gains.

Eren Sengezer FXStreet

After recovering above the 110 handle in the early NA session, the USD/JPY pair, once again, turned south and extended its losses. The pair, which touched its lowest level since late June at 109.66, was last seen trading at 109.70, losing 0.52% on the day.

Although a rebound seen in the major equity indexes in the U.S. made it difficult for the safe-haven JPY to continue to gather strength, a new wave of USD-selling caused the pair to lose its traction. A more-than-1% fall that dragged the 10-year T-bond yield to its lowest level since February around 2.7% seems to be weighing on the greenback in the last trading day of the year. At the moment, the DXY is down 0.25% on the day at 96.15.

The only data from the U.S. today showed that the business activity in the manufacturing sector of Texas lost momentum in December with the headline activity index plummeting to -5.1 from 17.6 in November.

Technical levels to consider

USD/JPY

Overview:
    Today Last Price: 109.7
    Today Daily change: -51 pips
    Today Daily change %: -0.463%
    Today Daily Open: 110.21
Trends:
    Previous Daily SMA20: 112.27
    Previous Daily SMA50: 112.78
    Previous Daily SMA100: 112.38
    Previous Daily SMA200: 111.01
Levels:
    Previous Daily High: 111.07
    Previous Daily Low: 110.16
    Previous Weekly High: 111.41
    Previous Weekly Low: 110
    Previous Monthly High: 114.25
    Previous Monthly Low: 112.3
    Previous Daily Fibonacci 38.2%: 110.5
    Previous Daily Fibonacci 61.8%: 110.72
    Previous Daily Pivot Point S1: 109.89
    Previous Daily Pivot Point S2: 109.56
    Previous Daily Pivot Point S3: 108.97
    Previous Daily Pivot Point R1: 110.8
    Previous Daily Pivot Point R2: 111.39
    Previous Daily Pivot Point R3: 111.72

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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