3 Feb 2014
USD/JPY falls to fresh lows on ISM miss
FXStreet (Córdoba) - The USD/JPY accelerated to the downside and extended losses to fresh 2-month lows after US ISM manufacturing PMI came in below expectations, hitting the dollar.
The ISM manufacturing PMI fell to 51.3 in January from 57.0 the previous month and below expectations of 56.0. The USD/JPY rected negatively to data, breaking decisively below the 101.60 support zone and dropping to its lowest level since late November at 101.21. At time of writing, the USD/JPY is trading at the 101.35 area, recording a 0.6% loss on the day.
USD/JPY technical perspective
Valeria Bednarik, chief analyst at FXStreet commented that the short-term technical perspective is clearly bearish. "The downside continues to be favored, as long as recovery attempts remain capped by 102.40 price zone", Bednarik said.
The ISM manufacturing PMI fell to 51.3 in January from 57.0 the previous month and below expectations of 56.0. The USD/JPY rected negatively to data, breaking decisively below the 101.60 support zone and dropping to its lowest level since late November at 101.21. At time of writing, the USD/JPY is trading at the 101.35 area, recording a 0.6% loss on the day.
USD/JPY technical perspective
Valeria Bednarik, chief analyst at FXStreet commented that the short-term technical perspective is clearly bearish. "The downside continues to be favored, as long as recovery attempts remain capped by 102.40 price zone", Bednarik said.