The earlier break failed
The USDJPY is down testing key support at the 200 hour and an upward sloping trend line. ON the opening yesterday, the 200 hour MA was broken but quickly failed. Later in the day, the 200 hour MA was tested again and held. Today, the 200 hour MA and the trend line were broken but that break failed.
Now, we are back testing the level at 113.38-409 area.. Industrial production and capacity utilization are out in a few minutes. More weakness from the manufacturing data could lead to a break. The next key targets will include the recent lows at 113.23 (today) and 113.10 (Monday). The 100 day MA at 112.92 is also a key level to target. That MA was broken on May 8th, tested on May 9th, and the price took off from that point.
PS the 100 hour MA has been a good ceiling on the topside. That MA was tested twice today and each time held. Yesterday afternoon, the MA was broken but the market momentum stalled. Should support hold, that MA will be eyed above for bullish clues.
