USD/JPY: big 80 pip round trip two-way busines sin Tokyo open

USD/JPY is currently on a rebound from the opening offer and one month low in Tokyo on a 80 pip round trip.

USD/JPY has been decisively offered after the BoJ last week and subsequent risk aversion on the back of uncertainties surrounding not just the Central Banks, but also the European banking 'pending' crises and US elections that are now on investors minds with the first of three debates  between Clinton-Trump commencing today as the presidential election race gets underway.

U.S. presidential race underway - ANZ

U.S. elections: A Trump win would strengthen the Yen - Nomura

For today, we await Kuroda speech in Osaka, although unlikely to reveal any new information, and FOMC Vice Chair Fischer to speak on “Why Study Economics?”. The rest of teh week will hold US GDP Q2 estimates and durable goods among other data releases. 

US: New home sales fall 7.6% in August

USD/JPY levels

Spot is presently trading at 100.37, and next resistance can be seen at 100.40 (Daily Classic S2), 100.47 (Hourly 20 EMA), 100.48 (Daily High), 100.71 (Daily Classic S1) and 100.90 (Hourly 100 SMA). Support below can be found at 100.33 (Daily Open), 100.32 (Monthly Low), 100.32 (Weekly Low), 100.25 (Yesterday's Low) and 100.13 (Daily Classic S3).  In the 4 hours chart, technical readings also favor a downward extension, as the Momentum indicator entered negative territory with a sharp inclination, and maintains it ahead of the Asian opening, while the RSI resumed its decline and currently stands around 35.