USD/JPY hits fresh six-day lows and remains under pressure looking at monthly lows

• US yields move lower, US equity prices mixed.
• USD/JPY heads for the lowest close in a month.

The USD/JPY pair printed a fresh three-day low at 106.66, after a short-lived bounce 107.01 following the beginning of the American session. The Japanese currency is among the best performers on Thursday supported by lower US yields and mixed sentiment across financial markets.

US economic data showed different signs. Initial and continuing jobless claims decline but less than expected while the Philly Fed jumped surprisingly from -43.1 to 27.5. The numbers have practically no impact on the greenback.

Despite falling versus the yen, the US dollar measured by the DXY is up, testing weekly highs near the 97.30 area. Other pairs are also near critical levels: EUR/USD slightly above 1.1200 and GPB/USD near 1.2400, a break lower could strengthen the dollar.

Technical levels

If the bearish pressure persists, the next support in US/DJPY strands at 106.55/60 (June low), followed by 106.35 (April 29 low) that protects the May low at 105.95. On the upside, the immediate resistance is seen at 107.10/15 (June 18 high) and then 107.40.