USD/JPY: technicals remain bearish, immediate support at 101.60 - FXStreet

Valeria Bednarik, chief analyst at FXStreet, explained that the USD/JPY pair still has a bearish tone in the short term, following the release of mixed US data on Thursday.

Key Quotes:

"The USD/JPY pair extended its retracement from the weekly high set last Wednesday at 103.35, pressuring the 102.00 level in the US afternoon,  following the release of tepid US data. The pair oscillated in a wide range right after the release of the batch of American macroeconomic figures, with speculative interest finally opting to drop the greenback.

The bearish tone is firm in the short term, as in the 1 hour chart, the price has extended below its 100 and 200 SMAs, both converging around 102.30, while technical indicators head south within negative territory. In the 4 hours chart, the price is now below a bullish 100 SMA, around 102.50, but still above a horizontal 200 SMA, the immediate support around 101.60, while indicators turned sharply lower and are currently entering negative territory, in line with a new leg lower during the upcoming sessions."