USD/JPY intermarket: risk-off tone supporting yen

Currently, USD/JPY is trading at 111.46, down -0.06% on the day, having posted a daily high at 111.80 and low at 111.31.

USD/JPY is struggling at 111.80 resistance and has since turned south while yields drop back and the DXY is unable to continue with the upside through 97.80 or beyond the high of 97.87. The 10-year yields are anchoring the dollar having dropped from 2.1949-2.1582 at the time of writing.  With stocks dropping back on Wall Street today, USD/JPY's downside is also exposed - this was lead by a drop on oil prices, WTI fell to $42.97.

USD/JPY levels

USD/JPY broke below the base of its cloud at 111.82 to the downside and the 112.13 24th May highs are now out of reach on a technical basis for the time being. "Dips should find support offered by the 200-day ma at 110.78," according to analysts at Commerzbank who suggested that rallies could regain 112.13 to retarget the 114.38 recent high.