USD/JPY plays ping pong with the key hourly moving averages today

USD/JPY H1 13-11

Despite markets being on the defensive and risk in a more sour mood, the yen hasn't shown significant strength in trading today.

I shared some thoughts about that earlier today here and the technical story continues to reaffirm the more steady mood so far on the session.

Treasury yields have fallen rather sharply in European trading so far but yet USD/JPY has only nudged lower by ~15 pips from 109.10 to 108.95.

In part, the rejection at the 100-hour MA (red line) @ 109.14 plays a role but buyers are also seen defending the 200-hour MA (blue line) @ 108.92. In the bigger picture, the 200-day MA @ 109.02 is also a level to watch out for today.

Those will be the key levels to keep an eye out for as we look towards the next possible catalyst for a move in the pair - which is the US CPI data at 1330 GMT.

Beyond that, there's also Fed chair Powell due to speak later today but also just be wary of further changes in the risk mood and potential trade headlines.