There are lots of levels in a sideways market
The USDJPY is testing a resistance level at the 120.40 level and trying to break it too....
Looking at the hourly chart above, the price high just before the employment report came in at 120.40. Yesterday, and again today, the price moved above this level and tried to hold the level but that support gave way (see 5- minute chart below). After getting close to the 100 and 200 hour MAs and also near a number of swing highs and lows on the 5-minute chart below, the price has moved back higher and is once again testing this 120.40 level (and breaking now). The 120.56 becomes the next target. Then 120.64-726. The 200 day MA is at 120.869.
We must remember that the market is not exactly the best. But with a range of 45 pips today in the USDJPY, there is room to roam still.
