USD/JPY now rests in between both key hourly moving averages again
The pair is basically just waiting on US-China trade headlines at this point, specifically Trump's decision to the 15 December tariffs. Buyers continue to find some support just under 108.50 and have dragged price back above the 100-hour MA (red line).
However, price still sits below the 200-hour MA (blue line) @ 108.75 and that means the near-term price bias remains more neutral for now.
In the bigger picture:
There is also the 200-day MA (blue line) @ 108.80 that is helping to limit gains with the 50.0 retracement level @ 108.43 offering added support for buyers to lean on.
That is pretty much defining the range that we are trading for the week until we get fresh developments on US-China trade with regards to the tariffs decision.
The worrying part in my view is that we don't hear of anything until the end of trading tomorrow. If that happens, I would expect markets to feel a bit uneasy in the final few hours of trading and perhaps risk may retreat during the time.
If that happens, the yen may stand to benefit but at the end of the day, we'll have to see what Trump finally decides to get a better overview of what to expect next for the pair.
