Cross sales haven’t helped the pair in Asia, with a softer EUR/USD and AUD/JPY, but bids in the USD down at 88.00/10 are so far soaking up the supply from a major Japanese name. More lie down at 87.80/90 (87.79 Jan16 low) with some sell stops touted on a break of the level.
On the topside offers remain up at 88.70/80 ahead of tech resistance 89.00/10 ( 89.02 tenkan line).
Last night’s close below the tenkan line was a s/term bearish signal and a further close today could target rising trend line support around 86.95 ( from Mid Nov lows)
EUR/JPY’s also under pressure approaching sell stops through 117.00 (rising trend line support from Dec 10 low) but support also seen below at 116.50/60 with further sell stops on a break.
USD trades around 88.13 after posting a recent low of 88.06 with the cross at 117.16 (day’s low 117.05)
