USD/JPY extends losses below 102.00

USD/JPY has continued to move lower during the New York session, erased previous day’s gains, as the dollar trades softer across the board despite stronger-than-expected economic data.

USD/JPY failed to decisively break above the 102.60 area on Monday, and turned lower, having already completely retraced yesterday’s gains. USD/JPY bottomed out at 107.80, and it was last trading at 101.85, down 0.57% on the day.

On the data front, wholesale inventories rose 0.3% in June (0.0% expected), while  IBD/TIPP economic optimism index rose to 48.4 (46.2 expected).Separated data had shown, advanced Q2 unit labor costs rose 2.0% and non-farm productivity contracted 0.5%.

USD/JPY technical levels

In terms of technical levels, next supports are seen at 100.67 (Aug 2 low), 100.53 (Jul 11 low) and 99.98 (Jul 8 low). On the flip side, resistances line up at 102.44 (10-day SMA), 102.82 (Aug 2 high) and 104.00/03 (psychological level/20-day SMA).