Nasdaq Composite turns red following a strong start. US Dollar Index looks to close the day higher. Annual core PCE price index in the U.S. stays unchanged at 2%. The risk-positive environment amid the sharp drop witnessed in Italian government bond yields on Monday weighed on the demand for safe-havens such as the JPY and helped the USD/JPY pair gain traction. However, with the major equity indexes in the U.S. paring their early gains, the pair couldn’t preserve its momentum and has gone into a consolidation phase. As of writing, the pair was trading at 112.52, adding 0.56% on a daily basis. On the back of the strong gains seen in the European stocks, Wall Street opened strongly higher and the S&P 500 added nearly 2% on the day before retracing the majority of its rally. Additionally, after gaining more than 1% earlier in the session, the Nasdaq Composite Index came under a heavy selling pressure and was seen down 0.1% on the day at 6,844 points. In the meantime, the broad-based USD strength also provided an extra lift to the pair today. The US Dollar Index, which struggled to break above the 96.50 mark during the European morning, rose to a fresh daily high at 96.70 after the data released by the U.S. Bureau of Economic Analysis showed that the Fed’s preferred gauge of inflation, the annual core PCE price index, stayed unchanged at 2% in September. At the moment, the DXY is up 0.35% on the day at 96.65. There won’t be any macroeconomic data releases from Japan during the Asian session on Tuesday and the risk perception is likely to continue to impact the pair’s price action. Technical levels to consider The pair could face the first technical support at 112.35 (50-DMA) ahead of 111.80 (100-DMA) and 111.10 (Sep. 12 low). On the upside, resistances align at 112.70 (Oct. 25 high), 113.30 (Oct. 10 high) and 113.90 (Oct. 8 high). 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 USD/CHF Technical Analysis: Greenback bulls are driving and holding the market above the parity level FX Street 4 years Nasdaq Composite turns red following a strong start. US Dollar Index looks to close the day higher. Annual core PCE price index in the U.S. stays unchanged at 2%. The risk-positive environment amid the sharp drop witnessed in Italian government bond yields on Monday weighed on the demand for safe-havens such as the JPY and helped the USD/JPY pair gain traction. However, with the major equity indexes in the U.S. paring their early gains, the pair couldn't preserve its momentum and has gone into a consolidation phase. As of writing, the pair was trading at 112.52, adding 0.56% on a… 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.