FXstreet.com (Córdoba) - USD/JPY has been moving inside a range since the beginning of the American session with support at 89.60 (intra-day low) and resistance at 88.90. The Dollar failed to recover against the Yen and currently it trades at 88.75/77, 0.88% below today's opening price. The pair is suffering the biggest daily loss in a week.
On the upside, resistance lies at 88.90 and above at 89.40 and 89.70. Support is located at 89.60 and below at 88.20 (Sept 28 low).
The FastBrokers Research Team affirms: Speculation aside, we have little reason to alter our negative outlook on the USD/JPY. It seems the USD/JPY is bound to suffer whether broad-based Dollar weakness continues or the S&P futures pull back again. Countering forces would be very negative Japanese economic data combined with predominantly positive U.S. econ numbers. Also, Minister Fujii can influence the currency pair through either psychological techniques are concrete action. Otherwise, the USD/JPY's downtrend remains in the driver's seat.