USD/JPY
The accumulated potential to pull down the USD/JPY pair yesterday was fully realized - the decline reached 175 points with a test of the MACD line on a daily scale (109.24). Today this support has been overcome, the price is losing over 100 points in the Asian session, the closest target along the price channel is already close (107.86). Just below the first target is the second at 107.02. Overcoming the second goal opens the way to the third at 102.70.
The price has consolidated under the MACD line on the four-hour chart, the price continues to decline at a steady rate. Chinese industry earnings data for February showed a 38.3% decline.
Japanese stock index Nikkei225 is growing by 1.40% today, but the USD/JPY pair is falling, which indicates the strength of the trend. We look forward to a further fall in prices.
The material has been provided by InstaForex Company - www.instaforex.com