USD/JPY Technical Analysis: Under pressure, eyes 50-day MA support

• The Japanese Yen is flashing red despite the uptick in equity markets. 
• USD/JPY's hourly chart shows a rising channel breakdown. 
• The pair looks set to test the 50-day average support. 

USD/JPY is currently trading at 108.64, representing marginal losses on the day, having faced rejection at the downward sloping 5-day moving average resistance of 108.78.

The anti-risk Yen is looking to gain ground despite the 0.10% gain in the S&P 500 index. The Asian stocks are also flashing red with Japan's Nikkei adding 0.17%, possibly in response to comments by President Trump that trade talks with China are moving right along. 

USD/JPY's hourly chart shows the pair has established a lower high at 108.79, validating the rising channel breakdown seen in the overnight trade. 

The hourly chart relative strength index is also hovering in bearish territory below 50.

The pair looks set to test the 50-day MA support at 108.53.  

Hourly chart

Trend: Bearish

Technical levels