Bounces off an old ceiling (now floor). Bounces off the 50% midpoint retracement (high from yesterday)
The USDJPY has traded in a familiar area today.
- At the high, the pair stalled near the 50% midpoint and the high from yesterday at 110.69. The high reached just above that level at 110.707 before moving back lower.
- At the low, the pair stalled near the old ceiling level which is now a floor at the 110.24. The low reached 110.229 before bouncing higher.
We are currently trading between those extremes at 110.50. The winners are the resistance sellers and the support buyers.
The price is above the 100 hour MA (blue line) at 110.339. That may give the buyers a little advantage. Not helping the upside is US yields which are lower, but they are off the lows too. The 10 year moved to a low of 2.3507%. It is currently at 2.391%.
The US stocks have erased earlier declines and look to open marginally higher.
The Fed rumblings are that the next move might be a ease. Pres. Trumps nominee for the FOMC seat said last night that he would favor a 50 bp cut. See Adam's post HERE.
