Reverses from 100 hour MA and trend line at the session highs. Ping pongs between MA levels
The USDJPY is down testing the 200 hour moving average after holding against the 100 hour moving average and topside trendline in the previous hourly bar. The 200 hour moving average was tested yesterday along with the 38.2% retracement level (the low ticked just below those levels but quickly reversed). Buyers leaned against that level and pushed the pair higher.
The holding of the 100 hour moving average and trendline was key today. The pair did move back above the swing area between 110.367 and 110.421, but stay below the aforementioned levels. The sellers were to remain in the game for control by holding below those levels.
Now, if the 200 hour MA is broken the 38.2% retracement and low from yesterday (at 109.98 and 109.954 respectively) would be the next levels to get to and through. Below that, and the door opens for a move toward the 50% retracement of the move up from the March 23 low at 109.679.
Buyers had their shot, but could not extend above the 100 hour moving average. Now the sellers are making their play. Can then get and stay below the 200 hour MA, and get out from between the MA goalposts?
