The USDJPY is bouncing higher in early US trading, and in the process is testing/breaking above the 100 hour MA at 138.83 and looks toward the high of a swing area up near 139.00.Above that sits the broken 38.2% retracement of the move up from the March 24, 2023 low at 139.176.
If the price can move above those targets, the door opens for more upside probing.
Recall that last weeks trend run lower did see the pair bottom near key/strong support defined by the 100/200 day MAs and the 50% of the move up from the March 24, 2023 low. That support came between 137.18 and 137.35. The low last week stalled and bounced after reaching 137.236 – between those key support levels.
What next?
Watch the morning video and plan your trade.
This article was written by Greg Michalowski at www.forexlive.com. Source