USD/JPY to continue the consolidation phase amiad upbeat market sentiment

The US dollar is under pressure as the market’s mood turned upbeat. The USD/JPY pair eased within range and trades around 105.35 as demand for safe-haven assets is limited. Bears could take over on a break below 105.00, FXStreet’s Chief Analyst Valeria Bednarik reports.

More – USD/JPY: Resistance at 105.82/92 to cap further strength – Credit Suisse

Key quotes

“Equities trade firmly in the green ever since the day started, amid hopes for a US coronavirus aid package. European indexes got an additional boost from headlines suggesting the EU and the UK are advancing towards a trade deal.”

“The USD/JPY pair is trading in its latest comfort zone, neutral according to intraday technical readings. The 4-hour chart shows that the pair is developing just below a still bullish 20 SMA, while the larger ones maintain their mildly bearish slopes above the shorter one. Technical indicators, in the meantime, are directionless around their midlines.”