The USD/JPY failed to pass the resistance zone above the 111.60 level. Moreover, during the last attempt to reach higher, the rate was beating down by fundamental news. Namely, worse than expected US employment data was released on Friday at 12:30 GMT.
By the middle of the day’s European trading hours, the rate ad extended its decline and reached the 110.80 level. In general, the pair had no technical support as low as the 110.46 level, where the weekly S1 simple pivot.
In the case that the pair declines, it could look for support in round exchange rate levels before reaching the previous week’s low-level zone near 110.50.
On the other hand, a possible recovery would immediately face the resistance of the 100 and 200-hour simple moving averages and the weekly simple pivot point in the 110.90/111.00 area. If these levels would be passed, the rate could aim at the 55-hour simple moving average at 111.33.
