USD/JPY declined on Friday as investors sought out the safe-haven currency in light of continuing uncertainty over the White House's ability to push through its economic agenda. Markets were also uncertain about U.S. Pre…
USD/JPY declined on Friday as investors sought out the safe-haven currency in light of continuing uncertainty over the White House's ability to push through its economic agenda.
Markets were also uncertain about U.S. President Donald Trump can deliver promised tax cuts and stimulus as rumours swirled that chief economic adviser Gary Cohn would resign and business leaders deserted the administration over Trump's handling of white supremacist violence.
That drove investors into the traditional security of the yen, with worries about another attack claimed by Islamic State in Barcelona feeding into the rising uncertainty.
The ongoing weakness is set to continue for this pair as the resistance level at 109.43 is likely to act as strong barrier to the bulls and bring a further decline towards lower levels.
To the upside, the strong resistance can be seen at 109.20, a break above this level would take the pair towards next resistance level at 109.43.
To the downside immediate support can be seen at 108.95, a break below this level will open the gates towards next level at 108.64.
