FxWirePro: USD/ JPY drops towards 141.00 level as bearish pressure increases

 • USD/JPY hit eight month low on Friday   as hawkish comments from BOJ board members and weaker dollar benefited yen.

  • Bank of Japan board member Junko Nakagawa emphasized on Wednesday that the central bank will raise interest rates if economic conditions and inflation match its forecasts.

  • On Thursday, BOJ board member Naoki Tamura stated that the central bank should raise rates to at least 1% by the second half of the next fiscal year.  

• At GMT 06:26, the pair was trading down 0.58% at 140.97, lowest since January 2nd .

• Technical signals are  strongly bearish as RSI is   at 30, daily momentum studies  5, 9 and 10 DMAs are trending down.
 
• Immediate resistance is located at 141.93(Daily high), any close above will push the pair towards 142.46 (38.2%fib).

•  Support is seen at 140.74(23.6%fib) and break below could take the pair towards 140.09 (Lower BB)

Recommendation: Good to sell  around 141.10, with stop loss of 142.70 and target price of 140.10