Cracks back below its 100 hour MA
The USDJPY is pushing to a new session low as sellers take charge ahead of the stock market opening.
Technically, the price moved back below its 100 hour moving average at 107.559. A trend line target off the lows for the week on the hourly chart, at 107.29. The low price from yesterday quickly spike down to 107.158 and rebounded fairly quickly. That too is a downside target.
The low for the week reach 106.919. That was just above the April 1 low of 106.91. The double bottom helped to push the price back higher on Wednesday’s trade where it ran into resistance initially at the 100 hour moving average (blue line) and the 38.2% retracement. Both were near the 107.856 level.
The last few days has seen a ceiling develop against the 108.077 level. That was a swing high going back to Monday. On Thursday – and again in early Asian trading today – the same level stalled the rally (see red numbered circles). The falling 200 hour moving average is just above that ceiling top for the week. Ultimately, it would take a move above all those levels to give the buyers more control. Until then the sellers are more in control.
In the near term however the 100 hour moving average will be eyed as resistance now. Stay below and probing toward the:
- lows at the trendline (at 107.29),
- the low from yesterday at 107.158,
- the swing lows at 107.00, and the
- lows for the month of April at 106.91 would be the bias and preferred path.