USD/JPY - Slipped and is Approaching the 112.20 Key Level - 05/17/2017 (GMT)

The greenback is losing serious ground versus the Japanese yen as it is moving lower since yesterday's trading session. The USD/JPY pair plunged more than 1% and is ready to hit again the 112.20 support barrier which overlaps with the 100-daily SMA. On our yesterday’s analysis (see technical analysis here: http://bit.ly/2rlL2rd) we mentioned that we are waiting for a retest of the latter level and an upward movement again until the 114.35 resistance level. On the other side, if the pair falls below the 112.20 support level, it will open the door for the 111.20 level which is near with the 50 and 200 daily SMAs.

From the technical point of view, on the daily chart, the technical indicators are moving slightly lower. The Relative Strength Index (RSI) rebounded on the overbought territory and now is slipping towards the bearish area. Also, the MACD oscillator dropped below its trigger line but is still holding in the positive zone.