The USDJPY is moving higher helped by stronger US data today. The move to the upside has the pair testing the 100-hour MA at 140.99. The 50% midpoint of the recent move lower comes in at 141.15.
Getting above those levels is needed to increase the bullish bias in the pair going forward. A move above would have traders targeting near 141.45. Get above that level and the high price from last week at 141.94 followed by the 61.8% retracement of the move down from the end of June high comes in at 142.07.
What would hurt the bullish bias?
Not being able to get above these upside targets. Key level for both buyers and sellers and risk can be defined and limited against those levels.
On the downside, moving back below the swing area between 140.22 and 140.45 and the 200 hour moving average just below that area would certainly disappoint the buyers, and swing the bias back to the downside..
This article was written by Greg Michalowski at www.forexlive.com. Source