FXstreet.com (Buenos Aires) - USD/JPY continues drifting lower, printing a fresh 3-week low of 94.15, benefit not only because of risk aversion and falling stocks, but also, due to the upcoming general election on August 30th. Many expect the ruling party to finally capitulate and the new government to favor a stronger local currency.
Quoting now around 94.30 and with signs of exhaustion to the downside, pair could attempt an upside correction, that could reach the 94.75 zone once 94.45 is cleared. Above that, lies strong 95.00 area that should keep pair capped. Under today's low of 94.10, expect the fall to accelerate with next supports at 93.70 ahead of stronger 93.40 area.