Despite the better ADP data and steady but strong initial jobless claims, the USDJPY is moving lower. Yields are also now in negative territory with the 2-year yield down around 1 basis point and the 10-year down -3.1 basis points. Technically, the USDJPY has been able to stay below its 100-hour moving average at 139.99, and although trading above and below its 200-hour moving average at 139.484, is now pushing lower and looks to test the Asian session low, and a swing area between 138.731 and 138.897. Getting below each would increase the bearish bias, and have traders looking toward the 38.2% retracement of the move up in May.
Below is the technical look on the hourly chart. Watch the video above to hear the technical story.
USDJPY sellers making a play in the short term