Moves toward swing low area between 109.56 and 109.615
The USDJPY is not seeing the dollar buying seen vs the EUR, GBP, CAD, AUD, NZD and CHF over the last hours or so of trading.
IN fact, it is seeing sharp USD selling in the pair as “risk off” flows send the flow of the funds into the “relative safety of the JPY”. PS JPY crosses are also getting hammered.
Looking at the hourly chart, the pair has now cracked below the overlaid 100 day moving average at 109.818 (see the blue line marked D1). The next target comes in against the swing lows from August 25, August 31, September 3, and September 9 between 109.56 and 109.615. Move below that level and it opens up the door toward other recent swing lows at 109.479 and 109.407.
Move below that area and the pair is trading outside of the 20 day range which as seen the pair trade between 109.407 and 110.442. The 103 pip trading range over four weeks is relatively very narrow/non-trending.
