Looks to tet the high for the week
The USDJPY has extended higher and in the process has:
- crack above the 200 hour moving average and 38.2% retracement at 107.213
- Broke above a topside trend line at 107.26
The pair’s price is now testing the 50% retracement of the move down from the July 1 high to the July 10 low. That level comes in at 107.394. Just above that is the high for the week at 107.414. The 107.39 to 107.44 area is home to a number of swing areas (see red numbered circles in the chart above.
Earlier in the NY session the price was trading mostly between its 100 hour moving average below and 200 hour moving average above. The pair did try to extend but back below the 100 hour moving, but could not sustain momentum. The last 3 hourly bars have been trending to the upside (we are on the 4th), but now faces the next key resistance area.