USDJPY STILL BEARISH BELOW 112.70 LEVEL
The U.S dollar is starting to recover upside momentum against the Japanese yen, after falling towards the 112.40 support level during the Asian session. The USDJPY pair currently trades around the 112.60 level, after giving way to strong technical selling earlier on, as the U.S dollar index slipped back from Monday’s price-high. The macroeconomic calendar will remain empty for Japan on Tuesday, however later today we see a raft of Manufacturing related data coming from the United States economy.
Should price action on the USDJPY pair hold below the 112.70 technical level, intraday sellers may look to test the 112.40 level again, with extended support found at 111.58.
If USDJPY buyers push price-action above the 112.70 technical level again, a continuation of the recent up-move towards 113.10 and 113.89 may occur.