Moves back toward the falling 100 hour moving average at 109.729
The USDJPY that seen a sharp spike higher after the better than expected retail sales. The price action saw the pair move up from about 109.382 the current high of 109.70.
The price is looking to test its falling 100 hour moving average at 109.729. A move above that level will have traders looking toward the 100 day moving average at 109.833 and the 200 hour moving average at 109.869.
On Tuesday, the price cracked below all three of those moving averages and trended down to the low price yesterday of 109.110. That low corresponded with swing lows going back to August 16 and August 17 at the same level. The inability to break below that double bottom, gave the buyers some hope.
The break above the swing lows from August 19 and August 24 at 109.407 and 109.479 and then the swing area between 109.56 and 109.615 are both more bullish developments.
Close risk intraday will be eyed near the 109.56 area. If the buyers can keep the price above that level, traders will likely look to push up toward the 100 day moving average and 200 hour moving average targets.