Bearish pressure prevails. The USD/JPY pair remains subdued, having advanced up to 111.73 before turning back south, overall maintaining the negative tone that led the pair for all of this past March. The Nikkei 225 edged slightly lower, having no effects over the pair, whilst the neutral tone in US futures is keeping the pair confined to a limited range. The technical short term picture favors the downside, as in the 1 hour chart, the price is below a bearish 100 SMA that accelerated its decline after breaking below the 200 SMA. In the same chart, the technical indicators are retreating from their mid-lines, suggesting the decline may extend further. In the 4 hours chart, the price is also developing below its 100 and 200 SMA, whilst the technical indicators have turned lower after a limited upward corrective movement from oversold levels, all of which supports the shorter term perspective, particularly on a break below the daily low of 111.31.
Support levels: 111.30 111.00 110.65
Resistance levels: 112.00 112.60 113.10