The US Dollar has still failed to gain strength against the Japanese Yen, thus lingering slightly above the 2017/2018 low of 105.35.
The most recent weakness was caused by trade rhetoric between the US and China which weighted heavily on the pair during the first part of Wednesday. As a result, the US Dollar dashed through the strong support of the 200-, 55– and 100-hour SMAs. The FOMC policy decision strengthened the bearish pressure, thus pushing the rate down to the 105.60 mark.
The pair is likely to be affected by fundamental events today, such as a tariff announcement by Trump, and is unlikely to move past the 55– and 200-hour SMAs and the weekly PP at 106.30 in this session. Meanwhile, the nearest support is set by the aforementioned low and the weekly S1 circa 105.30.
