Looks toward the 112.60-65 next
The move lower in the USDJPY has resumed with new lows for the day being reached. The next target comes in at 112.60-65 which was home to swing levels back in November (before and after November 19 and November 20).
Looking at the 5-minute chart below, the price correction in the NY session did break above its 100 bar MA (muddied the water) but fell short of the 200 bar MA (green line in the chart below). The fall back below the 100 bar MA, turns the intraday bias back lower with 112.836 close risk now (again). Stay below keeps the sellers more in control.
Stock and yield declines are not helping the pair.
The S&P is down -2.38%. The Nasdaq is down -2.72%.
For US yields, the 30 year has tumbled 11.2 bps on the day. The 10 year is down -7.4 bps. The 2-10 spread is now below 10 bps as the yield curve quickly flattens.