USD/JPY Technical Analysis: Set-up points to an extension of the bearish slide below 110.00 mark

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   •  The pair’s overnight slump, triggered by more than previously anticipated dovish FOMC, confirmed a decisive break through a 2-1/2-month-old ascending trend-channel.

   •  The bearish trajectory extended through the Asian/early European session on Thursday and dragged the pair to its lowest level since late-February, or over three-week lows.

   •  Given that daily technical indicators have just started gaining negative momentum, the set-up now supports prospects for an extension of the near-term bearish trajectory.

   •  The downward momentum seems more likely to get extended towards the key 110.00 psychological mark before the pair eventually drops to test the 109.60 horizontal support.

USD/JPY daily chart

 

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