FXStreet (Guatemala) – USD/JPY has dropped back in an hourly spike on the back of a snap back on Wall Street amid concerns that the Fed might hike this month.

The major has been on form since 119.58 and while bulls took back control in Asia and subsequently in European and US markets this week. At the same time, the Yen was sold off when Abe announced that they will lower the corporate tax rate by at least 3.3% next year. However, the major struggles at 121.20 as Wall Street turns negative against the grain of overnight performances elsewhere around the Globe.

USD/JPY failing ahead of 200 DMA

The key 120.80/00 level remains a force keeping pulling on breaks on to the 121 handle. On further supply and a low of the 119 handle, 118.33/25 and March lows guard the 116.15/115.85 2015 low and the recent low. MACD on the daily chart is starting to turn positive also and bullish.

USD/JPY has dropped back in an hourly spike on the back of a snap back on Wall Street amid concerns that the Fed might hike this month.

(Market News Provided by FXstreet)

By FXOpen