The USDJPY moved higher on Friday and in doing so extended above the 50% midpoint of the move down from the June 28 high to the July 14 low. That level comes in at 141.149.
The price has traded above and below that level in trading here today. The US PMI data came out weaker than expected pushing the price to a new low of the day at 140.73, but the price is bouncing back toward that 50% retracem (1ent level.
The 50% retracement will be a barometer for buyers and sellers in the short term at least. Move above is more bullish. Stay below is more bearish.
This article was written by Greg Michalowski at www.forexlive.com. Source