USD/JPY falls lower as the dollar retraces gains on the week
It has been a steady fall in USD/JPY since Asia Pacific trading as the greenback is retracing gains on the week, after the Fed moved yesterday to establish fresh swap lines with nine other central banks to address dollar funding pressures.
Despite the downside move, the technical picture hasn't changed all too much with the pair keeping above both key daily moving averages but a fall below 110.00 represents a decent loss of momentum for buyers.
A move towards testing the 100-day MA (red line) @ 108.95 will be one to watch if we see the dollar give up further gains on the week later today.
As for any return back to the upside, buyers have more work to do now with the 111.00 level and the earlier high of 111.36 set to offer resistance in the near-term.
