USD/JPY Weakening

USD/JPY is trading in consolidation in today's session due to lack of impactful news that can give a direction to the pair. The latest developments in the pair show signs of weakness in the US dollar. The Trump rally came to an end just a bit over one month since it started on Nov 9 when Trump was elected President.

The pair made a staggering rally from 101.20 to 118.63 and it has been depreciating since then. Now the USD/JPY is trading at 112.03 and it appears that the trend will continue moving South unless we can hop on strong fundamentals.

The financial situation currently benefits the Yen as Trump makes a move to support a weak dollar. Even the Japanese former currency czar Eisuke Sakakibara said the dollar could fall below 100 yen by year end, but went on to say that Tokyo should not do any yen-selling as this might turn out to be counterproductive.

Char: USD/JPY H4