But finds a support level below

The USDJPY held back at first as the other currency pairs sold off against the USD, but has since joined the bandwagon and pushed below the 120.00 level. For those of you who look to define risk, and limit risk against technical levels, the move lower did find buyers against the 100 hour moving average and 38.2% retracement of the move up from the April 30 low (i.e. last week's low) at the 119.72/73 level (see chart below). There will tend to be buyers against the 100 hour MA and retracement level even if only for a 10 or 20 pip bounce (risk is lower - the price bounced to 119.86 so far). The 120.00 level is now close resistance.

The USDJPY range yesterday was the lowest going back to I think September 2014 (28 pips). The range today is better at 80 pips. On a break of the key support, the 119.49 and the 200 hour MA at the 119.44, will be the next target support.