RISK-OFF SENTIMENT SENDS USDJPY BELOW 109
The dollar has extended losses against the Japanese yen, falling to a new two-month trading low, hitting 108.90, after U.S. President Donald Trump issued a new round of fiery rhetoric to North Korea.
Traders are increasingly moving into the perceived safe haven of the Japanese Yen, as Japan is the world's biggest creditor nation, and investors there have tended to repatriate funds in times of crisis.
The USDJPY pair is now approaching the technical double bottom pattern created on the daily price charts.
The double bottom is found at the June 14th trading low, at 108.80, once clearly below the 108.80 level, the April 17th price low comes into focus, at 108.13.
To the upside, USDJPY resistance is found at the 109.05 level, with the M5 time frame 200 period moving average above, at 109.25. Further intraday resistance is found at the USDJPY daily pivot point, at 109.44.