The floor is a little thick but is is solid

Looking at the hourly chart of the USDJPY, the traders were busy shoring up the floor for the pair in the 112.81-93 area. That area, since July 3rd, has only one bar that moved below the level (on July 4th). There have been 7 other lows at the area since July 4th, including one bounce yesterday and 3 other tests and bounces today.

If the floor is built, traders have that area to lean against. Stay above and the price has the potential to go higher. Move below and the floor becomes the ceiling.

On the topside, looking at yesterday's price action (it helps tell the technical story for today), the price fell to the 100 hour MA (blue line in the chart below), stalled, but then broke below. That was bearish. The price then fell to the 200 hour MA (green line), stalled, but then broke below. That is bearish.

Today in the Asian session the 200 hour MA was re-tested and broken but that move above failed, paving the way for the retest of the floor (at red circle 7, 8 and 9).

Like the floor, the 200 hour MA and the 100 hour MAs mean something to traders. The up and down nature of the day might suggest that traders will respect the levels. Patiently trade the levels.

Stocks are about to open (slightly higher) and bond yields are a basis point higher or so. Yellen answers questions in front of the house.