· USDJPY broke 200 week MA at 111.30
· A triangle since Jan 2017 has been broken with a target of 104
· In Daily 200 day has been cut by 55 dma signalling a bearish move
· Daily RSI is below 40 indicating a downtrend
· Fundamentally
o It is signalling a reversal of the bullish move in USDJPY that happened post Trump came in
o The move can happen because of the impending political issues in US like Russia Investigation, trade sanctions on China, budget and debt ceiling related standoff going into September.
o US yields can come lower if the FED fails to deliver on the balance sheet reduction announcement in Sep 2016
· View
o Sell USDJPY at 110.25, 110.75 and 111.25 with stop over 112.36 or weekly close above 111.50, for a move to 108.50, which can be trailed for a further down move towards 105.
o Stop sell can be initiated at a 4 hourly close below 109.80 with stop above 110.50 for same targets.
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