USDJPY 109.14 key level to watch
The US dollar has broken to the downside against Japanese yen currency on Monday, as the risk-sensitive pair fell after a period of consolidation at elevated trading levels. A clear break below the 109.14 support level is likely to increase technical selling, which will also trigger a bearish head and shoulders pattern across the lower time frame charts. The MACD indicator on the four-hour time frame is also trending lower alongside price.
The USDJPY pair is bearish while trading below the 109.14 level, key technical support is found at the 108.85 and 108.58 levels.
If the USDJPY pair moves above the 109.60 level, buyers may test towards the 109.90 and 110.25 levels.