Move above the 100 hour MA is the first since July 23
The USDJPY's horse ran out of the barn on the break back above the 100 hour MA at 105.039 (blue line). That was the first look above that level since breaking on July 23. The price has since scooted up to a high of 105.759. That move also cracked above the 38.2% at 105.458 and a swing level at 105.672 (most recently). Those levels are risk levels. The high from yesterday at 105.285 is also a risk level from the hourly chart now.
The next target on the topside comes in at the 200 hour MA at 105.853. Going back to July 23, the 100 and 200 hour MA were near converged. Breaking below both started the downside move lower (at 107.10). The next 7 days saw the price trend to the low today of 104.18 before starting the move back higher. The low today did break below a lower trend line but failed on that break...
Month end flows seem to be helping the squeeze. Also Adam points out other news from Japan on their concerns about their currency strength (CLICK HERE).
Taking a look at the daily chart, the lows from May and June coem in at 105.978 to 106.067. That old floor is now a ceiling.
