USD/JPY: yen supported from all sides - FXStreet

Valeria Bednarik, chief analyst at FXStreet explained that the USD/JPY pair turned south as fast as it previously advanced, erasing all of its Monday gains and extending down to a fresh weekly low of 110.51 where it stands by the end of the US session.  

Key Quotes:

"Risk aversion fueled yen's advance during the US afternoon, resulting also in a three digit slide in the Dow Jones Industrial Average.  Tepid US data also favored the Japanese currency, and is currently struggling around a major static level, the 110.60 region, in where the pair stalled multiple times ever since early February."

"The pair was rejected from a sharply bearish 100 DMA, having reached it earlier this week for the first time since mid January, which suggests the long term risk remains towards the downside."

"In the short term the 1 hour chart shows that the price is approaching its 100 SMA currently at 110.40, whilst the technical indicators maintain strong bearish slopes within negative territory, in line with further declines."