USDJPY's ups and downs retests trend lines
Trend lines converge near 107.09
The USDJPY had a good run higher after basing at the 100/200 hour MAs in the Asian Pacific session.
The run higher took the price above trend lines around the 107.09 area. That break took the price up to 107.286.
Then CPI/White House stuff send the pair back down.
Looking at the 5 minute chart below, the low moved below the 50% of the day's trading range, but did stall just ahead of the 200 bar MA (green line in the chart below).
The move back higher returns to the convergence of the trend lines at 107.09. Also near the level is a "top" area on the 5 minute chart that was above 107.12 (before the tumble back lower on the news).
Sellers would breathe better if the 100 bar MA on the 5-minute chart (blue line) can be broken. That MA comes in at 107.011 currently (200 bar MA remains a target on a break lower).
A move above the 107.09-12 will have traders gunning for the high for the day at 107.286. Above that and the 107.60 area is the next target area.