USD/JPY chart - Trading View
USD/JPY was trading 0.03% lower on the day at 105.68 at around 04:10 GMT.
Price action has slipped below the 106 handle as recovery attempts in the pair have been rejected at 50-DMA.
Fresh US-China trade war fears keep the pair depressed. Also, Suga’s election victory earlier strengthened the yen.
Technical analysis support weakness in the pair. Scope for test of trendline support at 105.16.
Further weakness will drag the pair to test 104 levels. 5-DMA is immediate resistance at 105.88. Bearish invalidation above 50-DMA.
Support levels - 105.16 (trendline), 105, 104.18 (July 31st low)
Resistance levels - 105.88 (5-DMA), 106.03 (21-EMA), 106.20 (50-DMA)
