USD/JPY hits fresh lows under 101.00

The Japanese yen strengthened in the market amid risk aversion. USD/JPY  broke below post-US data and bottomed at 100.80, hitting the lowest level since August 3. From the lows, It rebounded but so far it failed to make a sustained recovery above 101.00.

It was trading at 100.95, 110 pips below yesterday’s closing price and about to post the third weekly decline in a row.

Under pressure

So far the decline appears to be easing around 101.00 but the pair still remains under pressure with momentum favoring the yen in the market. Greenback was able to trim losses against European and commodity currencies but not versus the yen.

The immediate support in USD/JPY is seen between today’s low and 100.65 (last week low). A break lower could open the doors to more losses and probably