Support near 100 hour MA and 38.2% retracement.
The hourly chart on the USDJPY bottomed near the 38.2% and 100 hour MA at 113.49. The low reached 113.452.
The bounce was convincing. The bar closed near the opening, near the high of the price bar, and near the close from the prior bar. That bar is a hammer bar in candle stick jargon. It signals a capitulation of the selling and should lead to higher prices.
That is the theory/expectations.
Technically we are back above a broken trend line on the hourly at the 113.80 level. Stay above and the bulls are showing more strength.
Drilling to the 5- minute, the price is testing the 100 bar MA and the 50 % of the move down from the highs from yesterday and today. Those levels come in at 111.93. Get above, is more bullish from the intraday price action perspective.
