USD/JPY weaker, threatens to break below 101.00

The US dollar is now accelerating its decline after the opening bell in Euroland, taking USD/JPY to the 101.00 neighbourhood, or session lows.

USD/JPY lower post-data, USD-selling

Spot is prolonging the downbeat momentum after last Friday’s poor results from US Retail Sales, with USD trading on a softer note and prompting a test of the key support at 101.00 the figure.

Data wise in Japan, skepticism around the effectiveness of the policies implemented by the government and the BoJ remains on the rise after critical advanced GDP figures for the second quarter have disappointed markets earlier today. The Japanese economy is now expected to grow 0.2% on an annualized basis and to come in flat during the April-June period.

USD/JPY levels to consider

As of writing the pair is retreating 0.20% at 101.07 facing the immediate support at 100.65 (low Aug.2) ahead of 100.02 (low Jul.8) and then 99.08 (low Jun.24). On the other hand, a surpass of 102.83 (high Aug.2) would open the door to 103.28 (50% Fibo of 99.08-107.48) and finally 104.08 (55-day sma).