USD/JPY: Limited downside while above the 108.80 mark

The USD/JPY pair hovers around 109.10, losing bullish potential but without signs of an imminent break lower. Immediate support level is seen at 108.80, Valeria Bednarik, Chief Analyst at FXStreet, reports.

Key quotes

“Japan macroeconomic figures were mixed, as January Machinery Orders were down 4.5% MoM and up 1.5% YoY, beating expectations. However, the January Tertiary Industry Index resulted in -1.7% MoM, missing the market’s expectations.”

“The pair could extend its decline in the near-term on a break below 108.80, the immediate support level.”