FxWirePro: USD/JPY extends weakness for the 2nd straight session, slips below 105 handle on weakening risk appetite

USD/JPY chart - Trading View 

USD/JPY was trading 0.19% lower on the day at 104.92 at around 04:20 GMT, bias bearish.

The pair has failed to extend break above 55-EMA and is extending weakness for the 2nd straight session.

Price has slipped below the 105 handle and is on track for further weakness as market turn risk-off amid rising coronavirus cases across the globe.

Further, markets could be pricing out the coronavirus vaccine's positive results led optimism. 

On Thursday, Fed's Powell said that while the progress on the vaccine front is welcome news, it does not nullify near-term economic risks from rising virus cases.

Technical analysis for the pair shows major trend is bearish. Recovery attempts seem to have failed at daily cloud and 55-EMA resistance.

RSI has turned and Stochs are showing a bearish rollover from overbought levels. The pair is currently holding support at 21-EMA at 104.85. 

200H MA at 104.61 offers strong support. Breach below will accelerate downside. Dip till 103.18 likely.