USDJPY tests MA support target....
100 hour MA comes in at 111.84.
The USDJPY moved below the 111.02-04 and went another 18 or so pips down to a low of 111.844. At that area, sits the 100 hour MA at 111.842. There has been a little stall at the level as traders ponders the next move (see earlier post outlining the level here).
What happens from here is up to the "market".
Yesterday the 100 hour MA (blue line in the chart above) was a strong resistance level - until it broke. What was once resistance, becomes support and so we test support now.
Holding and bouncing will re-battle the 111.02-04 area.
Move below and the run up from yesterday will have just been a correction toward the 200 hour MA, and the USDJPY selling can continue.
So far, we are seeing some modest profit taking and buying on the re-test of the MA level.