Fed comments don't rattle USD/JPY as it clears 61.8% retracement

USD/JPY touches 121.50

USD/JPY is up 40 pips on the day and cleared 121.50 in the latest push. The gains have come today despite mixed sentiment in stocks and dovish Fed comments. That's a great sign of underlying demand but it could be skewed by weekly and month-end flows.

Technically, the signs are improving.

The 61.8% retracement of the decline was at 121.30 and after a brief foray above yesterday, it's made a more substantial break today. The caveat is that Monday's low in the pair is sketchy very little volume traded at 116.18 so the levels might not be totally accurate (other prints were generally higher than 116.18 so that would push the 61.8% retracement higher as well).