See-saw action sees the pair touch a high of 107.27 early in Asian trading before tumbling to lows of 106.44
The yen is once again the focus of trading in Asia, with an early tumble transforming into a decent rally ahead of the European session later.
USD/JPY touched a high of 107.27, testing the 100-hour MA (red line) but buyers failed to sustain a break above - which led to further selling in the pair as we head down to lows of 106.44.
In turn, price is testing the 61.8 retracement level on the hourly chart at 106.45 and buyers are finding support there as the dollar stems its decline on the day. USD/JPY is now at 106.58.
It's been a quiet session with little news/catalysts of note. US Treasury yields are a drag so far in trading, which isn't really helping the dollar at the moment.
The greenback is the weakest performing major currency on the day at the moment. All eyes will be looking towards Fed chair Powell's speech tomorrow at 1500 GMT for any further clues on the dollar's movement this week. The text of his congressional testimony will be released at 1330 GMT though - so do look out for that.
