USD/JPY breaking lower towards 101.00, NFP in focus

Having failed to take-out 5-DMA, the bears fought back control and now pushes USD/JPY closer towards 101 handle.

USD/JPY: Yen back in demand?

The yen regained lost footing somewhat and knocked-off the major to daily troughs, despite several jawboning attempts by the Japanese government official, with the latest comments from Japan’s METI minister.

The USD/JPY pair came under renewed selling pressure as the greenback fell sharply against a basket of currencies, with the USD index now in the red at 95.69, session lows.

At the time of writing, the USD/JPY pair trades -0.09% near fresh session lows struck at 101.07, and looks vulnerable below 101 handle, while the Nikkei 22 trades +0.28% higher at 16,300 levels.

Markets will continue to track the broader market sentiment ahead of the US non-farm payrolls data due later in the US session.

USD/JPY Technical levels to watch

In terms of technicals , the immediate resistance is located at 101.40 (5-DMA). A break above the last, the major could test 102 (round figure). While to the downside, the immediate support is seen at 100.84 (Aug 4 low) and below that at 100.65 (Aug 2 low).