The USDJPY is moving toward a week's highs/swing area ahead of the US stock open. That area comes between 109.617 and 109.674. Now there were higher levels this week. The price moved to 109.79 yesterday but that run did not last long.
Helping the bullish bias, is the basing of the pair against its 100 hour moving average and 50% retracement of the range since May 25 at 109.44. At the day lows, the price also tested a swing area between 109.296 and 109.346.
Needless to say the price action has been quite confined and up and down this week. There was the one break yesterday that failed. On the downside the floor has been pretty solid between 109.18 and 109.22 (lows from Monday Tuesday and Wednesday).
At some point there will be a break outside of the box. Is it today? If so, can the momentum continue with the pair rotating back toward the 109.839 to 109.952 area? Alternatively, will the sellers leaning against the area now be successful in push back through the 200 hour moving average at 109.59 and the 100 hour moving average at 109.44 on its way back down toward the lower extremes (again)?