USD/JPY seeks liquidity above 120.40

FXStreet (Bali) - USD/JPY has been sent towards 120.45/50 resistance on USD broad-based strength in Asia, briefly breaking a line of liquidity at 120.44, which corresponds to last US highs.

USD/JPY technicals

Valeria Bednarik, Chief Analyst at FXStreet, notes: "Technically, the USD/JPY pair continues to present a strong downward potential, albeit buyers have been defending the 120.00 psychological figure."

"Nevertheless and in the daily chart, the technical indicators have failed to advance beyond their mid-lines and resumed their declines within bearish territory, as the price moved further below its 100 and 200 DMAs, in line with further declines."

"In the 4 hours chart the technical outlook is also bearish, as the price is well below a strongly bearish 100 SMA, and the technical indicators maintain their bearish slopes below their mid-lines.

Jan 4, 2016

NZD/USD bulls move out of the way to 100 4hr SMA

NZD/USD is starting to lose any conviction that was left on the 0.68 handle at the start of the week with supply taking the bird of its perch and to the lowest levels since Xmas Eve when the bird managed to break up from mid week supply at 0.6840 to test lows of 0.6760.

AUD/USD downside playing out on USD strength

The yield in the antipodeans that markets were parking their cash in over the holiday season is dropping out with a number of catalysts, including the recent Chinese data.