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2017.03.2208:48:00UTC+00Fxwirepro: Usd/jpy Resumes Downside After Failing to Break Above 111.72

  • USD/JPY declined on Wednesday as investors sold riskier assets and rushed towards safe havens, such as gold and Japanese yen, on concerns about U.S. President Donald Trump's economic growth agenda.
     
  • Investors became jittery overnight on worries about how quickly Trump could implement pro-growth policies, and unwound bullish bets on the U.S. dollar. That hit risk sentiment globally, hurting stocks, commodities and currencies.
     
  • Further upside for this pair is expected to be limited as resistance at 112.64 is set to limit upside and bring decline towards lower levels.
     
  • To the upside, immediate resistance can be seen at 111.72, a break above this level would take the pair towards next resistance level at 112.64.
     
  • To the downside immediate support can be seen at 111.00, a break below this level will open the gates towards next level at 110.18.

    Resistance Levels

    R1: 111.72 (50% Retracement level)

    R2: 112.64 (61.8% Retracement level)

    R3: 113.48 (March 17th high)

    Support Levels

    S1: 111.00 (38.2% Retracement level)

    S2: 110.18 (Nov 22nd lows)

    S3: 109.63 (23.6% Retracement level)

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