Range now 29 pips...
The USDJPY is pushing to new session highs in the last few minutes. Saying that is not a big deal since that push has extended the range for the day to 29 pips from 25 pips (hence the * - it is not time to party), but it is a start. At 29 pips currently, this is the most narrow trading range for a day for the year. Certainly it will not be a record will it? Of course we have FOMC later today. Hopefully we won't have to wait that long...A continuation of the move higher will have the pair looking toward the 123.595 level.
Looking at the hourly chart, give or take a pip above and below the 123.195 level has been where the price has been finding support both yesterday and today. Below that the 100 and 200 hour MAs (blue and green lines) are both at the 123.00 area. I guess we could go down to that level if this "extension" fails and the 123.195 area is broken.
Right now, however, with the price nearer the high has traders thinking that way (I think?). In which case, the next baby step is to get above the 123.595 level. Above that - not far away - is the 123.70 level (see chart below). This is the underside of the broken trend line and above that the door is open to a 124.00 test.
