USD/JPY had a rollercoaster session......>

DOLLAR-YEN: USD/JPY had a rollercoaster session Monday as it managed to stage a

dynamic recovery from a new multi-month low printed in early trade. Horrific

Chinese off'l PMIs released over the weekend & constant coronavirus worry

inspired a sell-off at the open, but expectations of supportive measures from

global central banks allowed the pair to recover from lows. In particular, the

BoJ pledged to provide ample liquidity & ensure market stability. USD/JPY eased

off a tad through the London session, but then ticked higher again on the back

of reports that G7 FinMins & central bankers will hold a teleconference Tuesday

to discuss the coronavirus situation.

- USD/JPY now sits at Y108.28, 5 pips worse off. Bears hope that Monday's move

was merely corrective & look at the 61.8% retracement of the Aug 26 - Feb 20

rally at Y107.43 as their initial target. A break would open Monday's low of

Y107.01. Bulls need a push above the 200-DMA at Y108.40 before taking aim at

Y109.22/26, the 100-DMA/38.2% retracement of the aforementioned range.

- The focus turns to Japanese earnings/spending data, due Friday, with one eye

still on the coronavirus updates.