FxWirePro: USD/JPY pauses three straight sessions of downside, bearish bias intact

USD/JPY chart - Trading View 

USD/JPY trades marginally higher at 109.46 at 04:30 GMT, up 0.17% on the day.

The pair has paused after a three-day losing streak, but recovery lacks traction.

US Treasury yields fell to their lowest in more than two years amid mounting concerns about the effect on the global economy of the US-China trade war.

Technical indicators are biased bearish and upside remains capped at 21-EMA and cloud resistance.

Stochs are biased lower and Stochastics RSI is showing a rollover from overbought.

The major is on track to test trendline support at 108.80. Violation there could see further downside.

5-DMA is immediate resistance at 109.84. Bearish invalidation above daily cloud.

Support levels - 109, 108.80 (trendline), 108.50 (Jan 31st low), 107.61 (61.8% Fib)

Resistance levels - 109.84 (5-DMA), 110.20 (21-EMA), 110.88 (cloud top) 

Call update: Our previous call (https://www.econotimes.com/FxWirePro-USD-JPY-rejected-at-cloud-and-21-EMA-dip-till-10880-likely-1540994) is progressing well.

Recommendation: Hold for targets.

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.