Forex: USD/JPY moves below mid term ascending trend line, still above 88.00

FXstreet.com (Barcelona) - USDJPY is extending the decline for third consecutive day, just like the Nikkei is doing as well, down -0.52% for the session so far, and -2.11% for the week, while Nikkei index is down -1.74% for today alone. The pair has just printed a fresh 4-day low at 88.25, even lower than yesterday's post-Boj lows at 88.36, and breaking below ascending trend line from Dec 10 lows in the process.

The Yen had found an ask line at 88.40, where Forexlive.com reported buying interest for the USDJPY pair, that after a few touches, has finally broken down, last at 88.30, moving now around previous Jan 07 highs levels. So far market reaction to yesterday's BoJ measures show some disappointment as expectations were for a bolder move.

Once below recent session lows, immediate support to the downside for USDJPY lies at Jan 17 lows 88.12, followed by Jan 16 lows at 87.80, and Jan 02 highs at 87.32. To the upside, closest resistance shows at Jan 04 highs 88.40, followed by Jan 11 lows at 88.75, and yesterday's NY session highs/Jan 14 lows at 89.00/08.