It's looking like another damp day for the dollar and US stocks
121.50 was a key support level and bar an initial blow through, held up quite well. It's now confirmed resistance and we're knocking on the 121.00 door as I type
USDJPY daily chart
Below here is the 120.68/75 level which marked a strong top through Dec 2014 and most of 2015
If we hold that level then the bulls are in with a chance to push it back higher. If they fail then we risk the move picking up speed to the next bands of support in the low 119's. The big area to watch under that is around 118.80/90
US stocks are increasing their losses with the S&P down now over 1.0%. That's adding to the sour dollar sentiment as well
Talking about stock corrections, it's been a while since we've had anything close to a 10% move so some may say it's overdue
S&P daily
The FOMC minutes are out later and that mat also be playing out in the market sentiment, though we know most of the details from the presser from the meeting. Still, if the market wants more dovish sounds, then they'll look to that for it
