Short term technicals tilt
The USDJPY has rotated back to the downside (at least in the short term).
From an earlier post, I commented on the holding above the 100 bar MA (blue line) as a key barometer for short-term buyers and sellers.
That MA was broken at 114.266, and buyers turned to sellers.
The price is currently trading at 113.99 and is now below the 200 bar moving average at 114.08 and testing the 30.2% retracement of the move up from yesterday's low at 113. 974.
Should the 38.2% retracement be broken, the swing highs from Tuesday and Wednesday near 113.798 is the next key target on the downside.
The US yields still remain higher with the 10 year at 1.56%. That is off the high yield of 1.576 but still up around 4.1 basis point on the day. US stocks are also higher with the Dow up around 300 points or 0.86%. The NASDAQ is also moving higher and up 76 points or 0.52%.
The decline may be just a technical move more investors taking some profits going into the weekend.
PS we just moved through the London fixing as well
