- US Dollar declined against the Japanese Yen and traded close to the 120.20-00 support area.
- There is a critical bearish trend line formed on the hourly chart, acting as a barrier for buyers.
- US MBA Mortgage Applications released by the Mortgage Bankers Association posted a decline of 3.5%, which was a lot lower compared with the last increase of 11.8%.
- US Goods Trade Balance released by the US Bureau of Economic Analysis and the U.S. Census Bureau posted a reading of $-58.63B, compared with the forecast of $-64.90B.
There was a sharp downside reaction noted in the USDJPY pair recently, which took the pair below the 120.50 support area. The mentioned level is now acting as a resistance for the pair.
Moreover, there is a bearish trend line formed on the hourly chart of the USDJPY pair, which is stalling gains and preventing the upside break. Buyers need to clear it for more gains.
On the downside, the 200 hourly MA holds a lot of importance and must prevent losses.
US MBA Mortgage Approvals
Today, there were a few minor releases in the US like the MBA Mortgage Applications, which presents various mortgage applications was reported by the Mortgage Bankers Association.
The outcome missed the mark as there was a decline in the applications by 3.5%, which was disappointing compared with the last rise of 11.8%.
Moreover, the US Goods Trade Balance was released by the US Bureau of Economic Analysis and the U.S. Census Bureau. The outcome was better this time as the forecast was of $-64.90B, and the result was $-58.63B.
The US Dollar was seen attempting to recover some ground. However, the USDJPY pair needs to clear the 120.50-60 resistance area if buyers need to take the pair higher.