The USD/JPY pair has been under bearish pressures, since the 9th of October 2015. The downward movement began from as high as 120.33 to as low as 119.08.
After testing the lowest part of the pair’s support zone, the price has stabilised at 118.39, which is a good indication that the buyers are struggling to gain momentum. Provided that they become strong enough to push the price to break above the level of 118.95, the price could escalate up to 119.22 and 119.49 in extension.
Alternatively, in the event that the sellers keep pushing lower and the price breaks below the 118.09 level, the pair could decelerate to 117.66.
Please note: The content in this daily technical analysis article should not be taken as investment advice. It comprises our personal view.