The US dollar has continued to shed earlier monthly gains against the Japanese yen currency, as European equity market follow Asian bourses lower. The selling in the USDJPY pair has so far reached the 112.30 level, with price fast approaching the key 112.00 support level. If the 111.92 support level is clearly broken, the medium-term objective of sellers is likely to be the important October swing-low, at 111.37.
The USDJPY pair is strongly bearish while trading below the 112.39 level, key technical support is now found at the 111.92 and 111.37 levels.
If the USDJPY pair moves back above the 112.54 level, buyers may test the 112.79 and 113.00 resistance levels.
