USDJPY Weakness Expected
The US dollar is remaining under pressure against the Japanese yen currency as the sell-off in the greenback from last Friday spills over into this week. The one-hour time frame shows that the USDJPY pair has invalidated an inverted head and shoulders pattern, around the 109.30 level. It should be noted that a drop towards the 108.30 area remains possible now that the pattern has been invalidated.
The USDJPY pair is only bullish while trading above the 109.30 level, key resistance is found at the 109.50 and 109.70 levels. The USDJPY pair is only bearish while trading below the 109.30 level, key support is found at the 109.00 and 108.55 levels.