USDJPY SELLERS RETAIN CONTROL 108.98 LEVEL

The U.S dollar remains under heavy selling pressure against the Japanese yen currency, as the Nikkei225 and broader equity markets suffer triple-digit intraday losses. Risk-on sentiment remains weak on Tuesday, limiting USDJPY upside, as financial markets fear a swift is underway, with investors rotating away stocks and into higher yielding bonds. Price-actions now sits close to the 108.50 level, as traders await a key-note speech from President Trump and key Industrial Production figures from the Japanese economy.

• The USDJPY pair is heavily bearish while trading below the 108.98 level, further losses towards the 108.13 and 107.32 remain likely.

• Should the USDJPY pair start to move above the 108.98 level, an upside correction towards 109.59 and 110.18 may ensue.