USDJPY trades between the 100/200 hour MA ahead of the Fed decision today

The USDJPY USD/JPY The USD/JPY is the currency pair encompassing the dollar of the United States of America (symbol $, code USD), and the Japanese yen of Japan (symbol ¥, code JPY). The pair’s rate indicates how many Japanese yen are needed in order to purchase one US dollar. For example, when the USD/JPY is trading at 100.00, it means 1 US dollar is equivalent to 100 Japanese yen. The US dollar (USD) is the world’s most traded currency, whilst the Japanese yen is the world’s third most traded currency, resulting The USD/JPY is the currency pair encompassing the dollar of the United States of America (symbol $, code USD), and the Japanese yen of Japan (symbol ¥, code JPY). The pair’s rate indicates how many Japanese yen are needed in order to purchase one US dollar. For example, when the USD/JPY is trading at 100.00, it means 1 US dollar is equivalent to 100 Japanese yen. The US dollar (USD) is the world’s most traded currency, whilst the Japanese yen is the world’s third most traded currency, resulting Read this Term is trading between its 100 and 200-hour moving averages ahead of the FOMC rate decision at 2 PM ET. The 100-hour moving average comes in at 141.12. The 200-hour moving average Moving average A moving average is a statistical tool that is used to smooth out short-term fluctuations in data and reveal longer-term trends. It is calculated by taking the average of a certain number of data points over a specific period of time, and then plotting that average as a line on a chart. The most common types of moving averages are simple moving averages (SMA) and exponential moving averages (EMA).In financial markets, moving averages are often used to analyze stock prices, exchange rates, and ot A moving average is a statistical tool that is used to smooth out short-term fluctuations in data and reveal longer-term trends. It is calculated by taking the average of a certain number of data points over a specific period of time, and then plotting that average as a line on a chart. The most common types of moving averages are simple moving averages (SMA) and exponential moving averages (EMA).In financial markets, moving averages are often used to analyze stock prices, exchange rates, and ot Read this Term comes in at 139.966. The current price is trading at 140.30.

Staying between the moving averages is a more neutral area for both buyers and sellers. There is a battle going on. Traders are looking for the next shove. That might have to wait until the Fed rate decision.

The current battle will be decided on a break of either of the moving average extremes. Moving above the 100-hour moving average is more bullish. Moving below the 200-hour moving average is more bearish.

On a break of the 100-hour moving average AND the 50% midpoint just 4 pips higher at 141.149, will have traders looking toward the high price from last week near 142.00 (the high price reached 141.945 last week), followed by the 61.8% retracement 142.073.

On the downside move below the 200-hour moving average at 139.966 and the low of a swing area at 139.750, opens the downside with a swing area between 138.73 and 139.00. Below that and it opens a door for a run toward the 100-day moving average over time. That moving average currently comes in at 137.314 which is just above the low price from July at 137.23.