Moved back away from the 200 day MA

The USDJPY is getting a pop on the N.Korean news and is trading above 112.00. The 100 hour MA looms ahead at 112.158. Since October 6th, when the pair moved below the MA line, there has only been one bar that closed above (on a spike higher on October 10th). That break was short lived. Last week, the MA was sniffed but not broken.

In addition to the 100 hour MA, the 112.208-316 has been home to a number of swing levels. If you remember last week, the area (yellow area) was broken on Tuesday, Wednesday and Thursday and each break failed. Finally on Friday, the price opened in the yellow area and started to find more sellers. There was a rebound (red circle 12) that stalled in the area and that gave sellers more confidence for a downside move.

The move on the news is taking the price away from the 200 day MA at 111.754 but over head resistance looms at the 100 hour MA and then the 112.208-316 area.