Should limit downside
The USDJPY pair has been sliding on the strength of the JPY, but price now sits in a firm daily support level. The JPY strength is being attributed to a potential dovish outlook from the Fed on Wednesday. However, further downside should be capped if the risk off tone continues as this will also give strength to the USD.
This daily support level ought to hold the pair steady now ahead of the NFP and expect profit takers around this 108.00 level and below.
