USD/JPY dips to lows near 124.10

FXStreet (Mumbai) - USD/JPY dives deeper in red during the European session, extending losses for the second straight session, as the US dollar ran through fresh offers around 124.50 levels dragging the pair lower towards 124 handle.

USD/JPY drops from 124.50

Currently, the USD/JPY pair trades -0.29% at fresh session lows of 124.12, with eyes set on 124 barrier. The USD/JPY pair witnessed a sudden sell-off sparked by renewed weakness in the greenback across the board.

The US dollar index, measuring the relative strength of the greenback against a basket of six major currencies turned in red at 95.19, retreating from fresh session highs at 95.47.

Moreover, the major remains pressured as the yen supported on Japan’s Prime Minister Abe’s optimistic comments overnight that weaker yen was leading to more visitors to Japan and supporting companies doing business overseas.

Meanwhile, traders will now wait for Thursday's US retail sales which will provide fresh cues for the rate hike timing ahead of the Fed's meeting June 16-17.

USD/JPY Technical Levels

To the upside, the next resistance is located at 124.74 (Today’s High) levels and above which it could extend gains 125 levels. To the downside immediate support might be located at 124 below that at 123.85 (June 1 Low) levels.

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