USDJPY moved lower and then shot higher after US jobs report. Trades to fresh highs
The USDJPY moved lower to 111.51 (new day low) and then shot higher (new day high) after the US job report. The new low took out the Asian low by 8 pips (was 111.592). That low got close to the 200 daay MA at 111.474. The whip back higher took the pair to a new high. The price took out the Asian session high by 2 pips (was 111.795 and reached 111.818).
We are trading back down (around 111.70) as I type in up and down trading.
Looking at the hourly chart above, the pair dipped below a trend line but held that 200 day MA. That is more bullish.
In contrast, there is some apprehension on the lack of momentum above the new high (which was the highest level since March 15).
Looking at the daily chart, if the price is to go higher, the 112.07-279 would be a target area for the pair. That is home to swing lows and highs since November 2018 (see red numbered circles).
If the sellers start to take more control, the lower trend line on the hourly at 111.56 will need to be busted and stay busted with the 200 day MA at 111.473 and the rising 100 hour MA at 111.44 targets that if broken, would increase the bears case for the idea "a top is in place".
The bulls have a slight advantage holding the 200 day MA, but I can't really say, the traders are running with the bulls with a 2 pip high extension. Watch 111.59 (was the Asian low) for support buyers ahead of the other key levels outlined (trend line, 200 day MA and 100 hour MA).
