USD/JPY (a 4-hour chart)
The US and Japanese government bond yield differential once again decreased, thereby increasing the investment attractiveness in the Japanese assets. The US stock correction became the main driver of the safe-assets.
The first support resides at 116.20, the next is at 115.40. The first resistance stands at 117.00, the next one is at 117.80.
The indicator shows a strong and confirmed sell signal. The price is under the Cloud and in under the Chincou-span. The Tenkan-sen and the Kijun-sen show a horizontal movement forming a “Dead Cross”. The downward movement will be until the price is below the Cloud.
The MACD indicator is in a negative territory. The price is decreasing.
We suppose the pair will go to 116.20 first. Having overcome the first target the price might go downwards to 115.40.