The JPY is solid bid on risk aversion – DJIA closed below the 200-day MA on trade war fears. The USD/JPY is revisiting previous day’s low 109.36 and may drop further as the VIX index (fear gauge) close above the psychological 15 level on Monday. The USD/JPY is feeling the pull of gravity, courtesy of trade-related uncertainty and the resulting risk aversion in the US stock markets. At press time, the currency pair is trading at 109.40 – down 0.33 percent. The Dow Jones Industrial Average (DJIA) is looking weak, having closed below the 200-day moving average yesterday – the first daily close below the key average since June 2016. Further, the VIX index – widely known as the fear gauge – rose to 19.52 yesterday – the highest level since April 24 and closed well above the psychological hurdle of 15.00, signaling heightened risk aversion. So, the USD/JPY could extend the decline towards 109.00, however, a quick recovery cannot be ruled out if stock markets unexpectedly pick up a bid. USD/JPY Technical Levels Resistance: 109.60 (50-day MA + rising trendline), 109.89 (5-day MA), 110.00 (psychological hurdle). Support: 109.20 (June 8 low), 108.82 (38.2% Fib R of March 26 low – May 21 high), 108.16 (100-day MA). FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next SNB’s Maechler: The franc remains ‘highly valued’ FX Street 5 years The JPY is solid bid on risk aversion - DJIA closed below the 200-day MA on trade war fears. The USD/JPY is revisiting previous day's low 109.36 and may drop further as the VIX index (fear gauge) close above the psychological 15 level on Monday. The USD/JPY is feeling the pull of gravity, courtesy of trade-related uncertainty and the resulting risk aversion in the US stock markets. At press time, the currency pair is trading at 109.40 - down 0.33 percent. The Dow Jones Industrial Average (DJIA) is looking weak, having closed below the 200-day moving average yesterday - the… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.