FXstreet.com (Córdoba) - The Yen extended its gains against the Dollar and recovered further to the Pound. USD/JPY fell to 89.38 posting a fresh intra-day low. Currently it trades at 89.47/50 which is the same level it had at the beginning of the day. Greenback failed to hold to gains and to break above 90.00.
On the upside resistance lies at 89.70 and above at 90.00. In case the pair falls further, it could face support at 89.30 and below at 89.00.
According to James Hyerczyk of ForexHound.com: The USD JPY is trading slightly lower this morning but traders are waiting for signs of a follow-through to the upside following last week's closing price reversal bottom. The threat of an intervention by the Bank of Japan is also possible if trading becomes volatile or abnormal. The BoJ wants prices to reflect actual economic scenarios and not excessive speculation.
Against Cable, the Yen is also rising further. GBP/JPY is testing intra-day lows at the 142.50 zone. The pair failed to hold above 143.00 and weakened. Immediate support lies at 141.80.