FxWirePro: USD/JPY grinds sideways between major moving averages, breakout required for clear direction
FxWirePro: USD/JPY bounces off 21-EMA support, risk barometer rises as markets brace to welcome Biden
FxWirePro: USD/JPY slips below 104 handle, risk-off amid Sino-American tensions and coronavirus vaccine doubts weigh
USD/JPY chart - Trading View
USD/JPY extends previous session's weakness, slips below the 104 handle, outlook turning bearish.
The major was trading 0.28% lower on the day at 103.93 at around 04:05 GMT, after closing 0.20% lower in the previous session.
Market mood sours amid Sino-American tensions and coronavirus vaccine doubts denting the pair.
The pair is set to resume weakness after back-to-back Doji formations earlier this week suggesting hesitation among bulls to drive prices higher.
Recovery attempts were capped at 21-EMA and price action has broken below 5-DMA support which is now capping upside at 104.29.
Major trend is bearish, the major slides lower in sloping channel pattern. Resumption of downside is set to test lower Bollinger band at 103.21.
5-DMA is immediate resistance at 104.29. Scope for minor upside on break above 21-EMA. Bearish invalidation only above daily cloud.