Getting close to high from Monday at 110.429.
The USDJPY opened the week and traded the high in the first hour or so. The high on Monday reached 110.429. The price fall from the high took the price to a low yesterday of 108.788 in the post FOMC volatility.
That move lower has nearly been fully retraced (a full lap completed). The high today just peaked at 110.396.
Technically, the USDJPY has moved back above its 200 and 100 hour MAs at 109.93 and 109.97 respectively. The pair also moved above trend line resistance in the NY session at the 110.15 level That trend line stalled the rally in trading yesterday. That trend line will be eyed as a risk level for longs who are looking for a continued move higher. Stay above keeps the buyers more in control.
The pair also moved back above it's 50% retracement of the move down from the June high to the June low. That level comes in at 110.245.
Now, there is a key resistance area on a break of the high for the week. That comes in against the 200 day MA at 110.544 currently. The high price on Monday, stalled at that 200 day MA, before moving back lower.
The USDJPY is higher despite moves down in stocks. However, with the Fed raising rates and the BOE signaling they are close to a split vote, the bond markets have pushed up yields. So we have stocks down, rates higher. The USDJPY is following the rate higher idea (for now at least).