USD/JPY drops to fresh daily lows, ignores ISM data

USD/JPY pulled back sharply from daily highs and dropped to the 104.50 area as the greenback weakened across the board.

USD/JPY came under pressure over the last hours and dropped over half a cent to a low of 104.51 in recent dealings. The pair was last trading at 104.55, down 0.25% on the day.

The greenback failed to benefit from higher-than-expected ISM manufacturing data amid some polls giving advantage to Trump in US presidential elections.

Earlier on the day, the Bank of Japan decided to leave policy unchanged as widely expected, with attention now turning to Fed’s verdict tomorrow. 

USD/JPY technical levels

In terms of technical levels, next supports are seen at 104.33 (10-day SMA), 104.01/00 (Oct 26 low/psychological level) and 103.15 (Oct 19 low). On the other hand, resistances line up at 105.22 (Oct 31 high), 105.50 (Oct 28 high) and 105.89 (Jul 26 high).