The pair opened at Y117.93 this morning after it had dropped to a one-month low of Y117.54 in overnight trade as a mild bout of risk aversion spread though the markets, that level also coinciding with the 61.8% Fibo retracement of the pair’s Y115.55 to Y120.84 rise. The losses resumed this morning in Asia but initial lows were held at Y117.50 amid some talk of a barrier there with protection ahead. Dollar-yen recovered some poise after that but stayed offered as Japanese stocks traded weaker. Sharp falls in copper prices led to broad risk-off theme and yen crosses were then hit along with the aussie. Dollar-yen retreated again as euro-yen deflated from a Y138.91 high to Y138.21. Dollar-yen losses continued as exporter supply persisted, with the pair then sliding to a Y117.36 low, its lowest since Dec. 17 when it traded a low of Y116.30. It last trades at Y117.46, with stops cited below Y117.20.
