USD/JPY: Looking to extend the decline

The USD/JPY pair fell to 106.20 and remains near such a low despite substantial demand for the greenback, weighed by concerns surrounding renewed tensions between the US and China, FXStreet’s Chief Analyst Valeria Bednarik briefs.

 Key quotes

“US President Trump continues to threaten China with canceling phase one of the trade deal and adding more tariffs to the country. Meanwhile, he insists on reopening the economy.”

“In the 4-hour chart, USD/JPY continues to develop below all of its moving averages, which unevenly gain bearish strength. Technical indicators, in the meantime, hold within negative levels without directional strength.”