Weak Chinese economic data caused the outflow of capital from the "risky assets", which is a positive factor for the yen. The debt market showed a growing optimism in regard to the Japanese assets: the yield differential of US and Japanese government bonds reduced which may support the demand for the yen.
The first support resides at 112.20, the next is at 111.40. The first resistance stands at 113.00, the next one is at 113.80.
There is a confirmed and a weak sell signal. The price is below the Ichimoku Cloud. The Tenkan-sen and the Kijun-sen show a horizontal movement. The downward movement will be until the price is below the Cloud.
The MACD indicator is in a negative territory. The price is decreasing.
We remain bearish on the pair. Our first target is 112.20. Our second target is the level of 111.40. The pair will strive to reach the level 114.60 if it grows.