Forex Analysis: USD/JPY has declined from 111.70 and went into consolidation around 107.50. On the D1, we can see that yesterday’s attempt of bulls to bring the price higher failed: the candlestick has a long upper wick and closed below all the key daily moving averages.
The United States will release ISM Manufacturing PMI at 17:00 MT time on Wednesday, April 1. The release will likely bring the USD in motion. The decline below this week’s low at 107.10 will open the way down to 106.50 (50% Fibo retracement of the March advance). The next level to watch on the downside is at 106.50. Resistance lies at 108.80 and 108.30.
Trade idea for USD/JPY
SELL 107.05; TP 106.50; SL 107.20