100 and 200 hour MAs. Not the best time of day
The USDJPY has moved back up to the highs and tests the 100 and 200 hour MAs in the process. Those moving averages have been tested 4 separate times this week. Each time the price rotated lower. We are currently rotating back lower. Missed again.
The more times you go to the well, the better the chance for the buyers to turn to sellers.
Nevertheless, helping the pair are interest rates and the strong stock market.
In the US debt market, the 10 year yield continues to advance higher. It is currently trading at 2.5283%. The high extended to 2.5357% at the peak. It is above the key 2.50% level. The recent high at 2.61% is the next target. Staying above 2.50% is important now.
The US stock market is maintaining strong gains, with the S&P index up 17.82 points or 0.78%. The Nasdaq up about 51 points or 0.91% and the Dow finally cracked - and has stayed above the 20K level finally. It trades up 153 points or 0.78%.
Technicals are in control in this pair. Traders continue to lean where risk can be defined.
Where does the bias turn around? Where to the buyers turn to sellers? Keep an eye on the 113.44 area. Lots of swing levels and the 38.2% of the day's range.
