The U.S dollar struggled to break above the 112.70 technical level against the Japanese Yen, pressuring the pair lower during the European trading session. The USDJPY has now slipped back towards the 112.40 support level, as buying interest dried up before the 112.70 resistance level, pushing price lower. The U.S dollar index is currently losing bullish momentum and moving well below the key 93.20 level. Traders now await the release of the U.S Manufacturing PMI and the ISM Non-Manufacturing survey for the month of November.
The USDJPY pair remains intraday bearish while trading below the 112.70 level. Further downside towards the 112.20 level appears likely, with the USDJPY 200-day MA offering further strong support at the 111.58 level.
Should price action move above the 112.70 level, intraday buyers will look to push the USDJPY pair back towards the weekly price-high, found at the 113.10 level.
