The USDJPY is lower and in the process is down testing the 100/200 hour MAs at 152.89.
Looking at the hourly chart, the 100 hour MA has been a barometer for support on the upside and resistance on the corrective move lower going into the election.
Yesterday, the price action saw the price run above it (near 152.32) and also the 200-hour MA (at 152.58) and then based against the level on the way higher.
The run to the upside took the price to a high of 154.69. The high today reached 154.65.
WIth the two moving averages converged it should give sellers cause for pause. Hold and move back above the broken 61.*% at 153.397 would give buyers some additional confidence.
Conversely, a break below (and staying below) and I would expect more selling momentum with poor targets at 152.40, 151.75 – 151.937 swing area, and finally toward its 200-day moving average at 151.65 over time.
This article was written by Greg Michalowski at www.forexlive.com. Source