The USD/JPY pair crashed and now is located at 145.87 at the time of writing. The price turned to the downside as the Dollar Index dropped while the Japanese Yen Futures rebounded a little. You already know from my previous analysis that the USD/JPY pair maintains a bullish bias despite temporary retreats.
Still, in the short term, the price could announce a larger retreat. USD/JPY increased a little in the first part of the day as the USD took a hit from the US CB Consumer Confidence and from the JOLTS Job Openings data.
Now, the USD depreciates versus its rivals as the US ADP Non-Farm Employment Change, Prelim GDP, Prelim GDP Price Index, and Goods Trade Balance came in worse than expected earlier today.
USD/JPY Under Strong Selling Pressure!
From the technical point of view, the rate challenges the ascending pitchfork's lower median line (lml). This represents a dynamic support. Also, the former low of 145.71 represents a static support.
The rate failed to come back towards the median line (ml) signaling strong downside pressure.
USD/JPY Forecast!
Dropping and closing below 145.71 activates more declines towards the warning line (wl1). This is seen as a selling signal.
