USD/JPY: downside playing out, extending sell-off from 117.80

Currently, USD/JPY is trading at 117.04, down -0.13% on the day, having posted a daily high at 117.28 and low at 116.85.

USD/JPY was sold off in early Asia, dropping in an extension of the overnight sell-off from 117.80. There had been some data in the US session with pending home sales that fell 2.5% m-o-m in November (Consensus: +0.5% m-o-m), after a 0.1% increase in October, but the moves are exaggerated in thin liquidity due to the festive season. Wall Street was giving back some recent gains as well, sopporting a move in the Yen. Meanwhile, there is very little to go with today, although the BoJ summary of opinions are released shortly.

Wall Street gives back some Xmas season gains in thin liquidity

USD/JPY levels

With spot trading at 117.05, we can see next resistance ahead at 117.06 (Yesterday's Low), 117.07 (Weekly Low), 117.13 (Daily Classic S1), 117.20 (Daily Open) and 117.28 (Daily High). Support below can be found at 116.85 (Daily Low), 116.81 (Daily Classic S2), 116.56 (Daily Classic S3), 116.52 (Weekly Classic S1) and 115.69 (Daily 20 SMA).