FxWirePro: USD/JPY hits one week low , scope for further downside

• USD/JPY dipped to hit one week low on Monday as markets reacted to Friday's late news of a U.S. sovereign credit rating downgrade by Moody’s, which cited concerns over rising debt levels.

• Moody’s downgraded the U.S. sovereign credit rating by one level on Friday, citing rising concerns over the nation's ballooning $36 trillion debt — marking the final downgrade among the major rating agencies.

• The downgrade was announced just as U.S. markets were closing for the week, amplifying its impact at the start of the new trading sssion.

•  At GMT 08:59, the dollar was down  0.57% to 144.87 against the Japanese yen.

• Immediate resistance is located at 146.04 (61.8%fib), any close above will push the pair towards 147.00(Psychological level).

• Support is seen at 144.41(50%fib) and break below could take the pair towards  142.58(38.2%fib A).

• Recommendation: Good to sell around 144.90 with stop loss of 145.60  and target price of 144.00