The USDJPY is up testing last week's high at 113.954

The USDJPY started the day just above its 200 hour moving average (green line). In the Asian session - and into the European session - the price drifted lower as stocks moved lower on concerns about omicron and UK social distancing restrictions. The price dipped down to - and through - the 200 hour moving average on a few occasions, but DID hold above the rising 100 hour moving average (blue line). Both the 100 and 200 hour moving averages are now converged at 113.33.

The bounce off the moving averages over the last four or so hours, has seen the price move above the high from yesterday and extend up to 113.922. That is just below the swing high from last week's Monday trade at 113.954. The 50% retracement of the move down from the November high (and highest level going back to 2017), comes in 114.019. Getting above those levels are the next upside target that would increase the bullish bias.

What would hurt the bias?

Watch the 113.66 to 113.753 area as close, intraday support now. The 113.666 level is is the 38.2% retracement of the move down from the November high. Traders looking for more upside want to see the 38.2% retracement hold and push off that level.