The USDJPY has succumbed to sellers over the last few hours. The dollar selling has come off of moves out of the relative safety of the US dollar. However, for the USDJPY, the declines have been tempered by rising yields. The five year is up 5.6 basis points while the 10 year is up 4.7 basis points.
Looking at the hourly chart above, the pair did move above resistance near 115.867 on two separate occasions today. That took the price into the upper extreme area that peaks at 116.33 (see red shaded area going back to February 10 and February 11). However moves above 115.867 could not be sustained and the price over the last four so hours moved lower.
The low price extended back below the 61.8% retracement of the move down from the February 10 high at 115.597, but has since bounced back up to 115.74 currently.
Traders will watch the 115.867 level again as resistance. Stay below and there could be further downside probing with the 100 and 200 hour moving average is the next key area between 115.369 and 115.41.
