The USDJPY trades down and up and respects levels
Trading range is narrow
The USDJPY is trading in a very narrow trading range as it seems to wait for the next kick higher or lower.
- Risks from tariff news is still high.
- Stocks and bonds are somewhat steady (stocks are expected to open higher on hopes the tariff fade continues).
- US employment tomorrow is a key event for rates, stocks, the Fed, etc.
Technically, the price fall in the Asian and early European session did find support buyers against the 100 hour MA. That level will be a key barometer on the downside.
On the topside, a ceiling is forming between 106.17 and 106.22.
The 38.2% retracement on the hourly is at 106.17 and swing highs today and yesterday stalled at 106.20-22.
Move above that ceiling and there are still other potential road blocks at the 200 hour MA at 106.33 and the 50% retracement at 106.457. That could make a bullish run tough.
Stocks opening with gains in early trading.