USD/JPY recovers from lows but remains capped by 123.00

FXStreet (Córdoba) - USD/JPY bounced after hitting fresh daily lows at the 122.70 zone, as most crosses turned around during the American afternoon. USD/JPY moved off lows and trimmed intraday losses but the recovery remained capped by the 123.00 level. At time of writing, the pair is trading at 123.92, still 0.36% below its opening price.

Still, USD/JPY continues to oscillate in a wide range around 123.00, unable to determine a longer-term direction as investors adopt a cautious stance ahead of the Federal Reserve meeting next week.

USD/JPY levels to watch

As for technical levels, if USD/JPY regains the 123 mark, next resistances are seen at 123.46 (Dec 7 high), 123.74 (Nov 18 high), 124.15 (Aug 20 high) and 124.45 (Aug 19 high). On the other hand, supports could be faced at 122.46 (Dec 7 low), 122.20 (Nov 16 low), 121.71 (100-day SMA) and 121.55 (200-day SMA).