FXstreet.com (Barcelona) - After falls more than 200 pips from 95.65, in the early American session, to 93.50, the USD/JPY has been rebounded up to be traded above the 94.50 level.
Along the American session, the USD/JPY has risen 100 pips from the 93.50, three weeks low, to 94.56. Currently, the pair is trading around the 94.40/50 band.
According to Valeria Bednarik, FXstreet.com Collaborator, Current aggressive Dollar sell off, should halt and begin a correction before longer term continuations: Being Japanese Yen the most sensitive currency to bond yields changes, the yen is quickly gaining ground after FED announcement. Quoting around 94.00 zone, the pair accumulated more than 530 pips fall in two days and rebound exactly in the 61.8% of the last up leg from 87.10 to 99.98, the oversold state in the pair is slowly vanishing, yet bearish trend is still present. Under today's low next important support in the longer term will be 92.00. From actual price, consider resistances from actual price will be at 94.30 zone, followed by 94.65, 94.92 and 95.30. Supports on the other hand under 93.54 consider supports at 93.20, 92.50 and 92.00