USD/JPY a half-cent from the highs
USD/JPY bubbled up to 110.00 early in US trading as risk trades advanced but an abrupt reversal has pulled the pair down to 109.51.
There was undoubtedly some selling in defense of the big figure but after touching the three-week high the pair has been in retreat.
In the latest leg of selling, the European low of 109.53 gave way but so far 109.50 is holding.
In the bigger picture, today's rally touched the December 24 low and failed there. That's not a great sign for risk trades but we will need to see a drop below 109.15 at the least to have any conviction that the downside will continue.
