FXstreet.com (Barcelona) - The Dollar continues losing ground against the Yen in the moments ahead of the Euroopean markets opening; USD/JPY as lost the 95.95 support zone and drops to levels at the 95.65/40 area.
Below 95.65/40 (Mar 12 lows), next support level could lie at 94.15 (Mar 20 low) and if the Dollar gets below there, next could be 93.55 (Mar19 low). On the upside the Euro could find resistance at the 96.40/50 level and above here, 96.90 and 97.60.
The Dollar looks weak and According to Nicole Elliott, senior technical analyst at Mizuho Corporate Bank, the decline could reach 93.50 area later today: Dollar/Yen has retraced 38% of this year's rally and carefully poised at the top of the Ichimoku 'cloud', and has dragged Yen crosses down by more than we had allowed for. Expect JPY to try and hold above the 'cloud' this morning, maybe all day. Later we continue to favour a test of the 93.50 area.
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