The USDJPY stays above trend trend line and swing level in early NY trading
Watching 106.45 on the downside now. Bulls have work to do on the down day for the pair.
As stocks open with modest gains, the USDJPY is lower today.
Technically, the price fell to the 38.2% of the move up from the March 2nd low, and found buyers. That level comes in at 106.355, and occurred in the late Asian session.
IN the early NY trading, the low has stalled at a higher swing level from March 6th (see red circle 1 in the chart above), and the newly formed trend line off the March 7 swing low, and the low from earlier today.
That level cuts across at 106.45. It will be the barometer for bulls and bears in the NY trading.
- Stay above, and dip buyers start to take back more in control.
- Move below and the 106.355 retracement followed by the 100 and 200 hour MAs at 106.27 and 106.232 will be targeted.
At the Asian session highs today, the price stalled at the underside of an old trend line (see blue circles in the chart above). That area will continue to be a target on a more bullish run.
Drilling to the 5 minute chart below, the price is waffling up and down in early NY trading, If the price is to go higher (and reverse some of the downside), the 200 bar MA and the 50% area near each other at 106.657 need to be breached (see chart below). When the 200 (and 100 hour MA) were both broken earlier in the day, that re-started selling momentum for the pair. Stay below, however, would be more bearish.