100 day moving average at 109.67
The USDJPY is moving to a new session low in early North American trading. Helping the move to the downside has been a move back below its 100 day moving average at 109.627. Yesterday and earlier today, traders leaned against that moving average level. The break led to buyers giving up and sellers taking back more control.
The pair is approaching a swing low level going back to Wednesday and Thursday of last week near 109.479. Move below that level and the sellers become even more empowered.
Looking back, the high price from yesterday’s trade so the pair stalled against the 61.8% retracement of the move down from the August 11 high at 110.149. When the price cracked below the 50% midpoint of that same range and a up ports open trendline near 109.95, the sellers intensified. Today’s high price also stalled near the swing highs from Friday’s trade at the 109.877 level (see red numbered circles). Finally the move back below the 100 and 200 hour moving averages near 109.78 did not help the buyers. Sellers were taking control.