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USD/JPY (FXY) Sets The 100 Hour MA As Topside Resistance Today

The USDJPY (NYSEARCA:FXY) has pushed back below the 100 hour MA (at 80.31 area) on the worst than expected ADP data this morning.

  • Staying below this MA level, keeps the bias to the downside today.
  • The next support comes in at 79.96 which is the underside of the broken channel trendline
  • A move below that level will next target the 100 day MA at the 79.59. Yesterday this MA was tested and held (see chart below).

The USDJPY tried to rally in the London morning session, and moved above the 100 hour MA for the first time since a similar break higher on Friday (April 27th). The failure to stay above this level and subsequent fall does not bode well for the pair. A move back above that MA level will be needed to push the pair back higher.

http://www.forexlive.com/blog/2012/05/02/usdjpy-moves-back-below-100-hour-ma-post-adp-report/