The USDJPY is down testing its 100 hour moving average at 115.66 and the 50% midpoint of the weeks trading range at 115.643 are being tested/now broken. Earlier today, the 50% level was tested and held.
Stocks are moving lower with the major indices all in the negative now. That can be a negative for the USDJPY pair (and the JPY crosses). Higher rates can have the opposite reaction at times. Yields are still higher on the day but off their highest levels (10 year at 1.726% down from 1.753%).
Traders will now be looking for momentum to develop below the dual technical levels.
If the price can stay below the 100 hour moving average and 50% midpoint, the 61.8% retracement at 115.477 followed by the rising 200 hour moving average at 115.301, and swing area between 115.146 and 115.231 would be the next downside targets. The last time the price traded below its 200 hour moving average was back on the December 21.
Sellers are making a play in the USDJPY. Can they keep the momentum going?
