USD/JPY chart - Trading View
USD/JPY was trading largely unchanged at 107.56 at around 08:55 GMT, with session high and low at 107.93 and 107.25 respectively.
The major was seen extending consolidation below 200-DMA, near-term bias has turned bearish.
Data released on Tuesday showed U.S. consumer confidence fell less than expected in March even as the country grappled with the coronavirus pandemic.
The Conference Board consumer confidence index decreased to 120.0 in March from an upwardly revised 132.6 in February, bettering estimates at 110.0.
U.S. stock futures declined as investors assessed worsening American coronavirus figures at the beginning of the new quarter.
Technical indicators are turning bearish. Stochs and RSI are now biased lower. MACD shows bearish crossover on signal line.
Next immediate support lies at 106.44 (Kijun sen and 50% Fib). Further bearish momentum could see test of 61.8% Fib at 105.20.
5-DMA is immediate resistance at 108.03. Bearish invalidation only above 200-DMA (108.30).
Support levels - 107, 106.44 (Kijun sen and 50% Fib), 106, 105.20 (61.8% Fib)
Resistance levels - 108.03 (5-DMA), 108.30 (200-DMA)
Data Watch:
US ADP Employment Change (Mar) - 12:15 GMT - Forecast: -154K, Prior: 183K
US Markit manufacturing PMI (Mar) - 13:45 GMT - Forecast: 49.2, Prior: 49.2
US ISM Manufacturing Employment Index (Mar) - 14:00 GMT - Forecast: 45.4, Prior: 46.9
US ISM Manufacturing PMI (Mar) - 14:00 GMT - Forecast: 45, Prior: 50.1
Guidance: Good to stay short on upticks around 107.70/108, SL: 108.50, TP: 107/ 106.45


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