USDJPY moves back above the 200 hour moving average and 200 day moving averages
The USDJPY has spiked higher along with stocks on the Pres. Trump a tweet that the US/China a very close to a very big deal.
The S&P index moved to new all time highs up to 3160.98. That took out the old high at 3154.26. The current price is at 3157.65
The NASDAQ index has reached a high of 8701.08. That is just off the all-time high of 8705.914. The current price is that 8691.84.
For the USDJPY, the price has spiked above its 200 hour moving average at 108.739 and 200 day moving average not far from that at 108.766.
In yesterday's trade the price tried to extend above the 200 day moving average only to back down on each attempt. The run to the upside today, has now put some room between the price and those moving averages (they are now risk for longs). The high price just reached 108.905.
Technically, the pair is testing the 38.2% retracement of the move down from the December high to the December low at 108.919 (see chart above). That was also the high price back on December 6. A move above that level would then have traders looking toward the December 5 high which came in at 108.99 (call it 109.00). Above that is the 50% retracement at 109.072.
There is room to roam on the topside as long as the 200 day moving average/200 hour moving averages hold support. They are the risks for longs and for the bias going forward in the pair.
