100 day MA sniffed but not really tested at the lows
As the risk aversion trade has led into the "relative safety of the JPY" (isn't JPY closer to China and therefore at more risk at least from a health perspective), the price gapped, it moved toward the 100 day MA at 108.65, but found dip buyers ahead of that level (the low reached 108.725. So the MA was sniffed but not really tested. Nevertheless, keep that level and the 200 day MA in mind should there be more USDJPY weakness.
The rise back higher did also stall ahead of the low from Friday at 109.166. The high reached 109.132. The price currently trades in the meat of the range at 109.02.
So the range has been set in the down and up market as traders grapple with good for JPY or bad for JPY. The technicals are also seemingly in play with the 100 day MA (and 200 day MA) below as levels that traders can at least lean against and define and limit risk.
On the topside, on a move above the 109.165 low from last week, the 109.275 (broken 38.2% level), and the falling 100 hour MA (it is up at 109.575 now but moving lower) will be levels to eye this week for more bullish bias clues. Get above each, and traders may shift the sentiment more in the USDs favor.
