USDJPY DIP BUYERS STEP IN AT THE 200 DMA
The USDJPY pair has moved back towards to the daily opening price, after experiencing a rollercoaster Tuesday morning trading session. The pair started to decline beneath the 113 level at the European market opened, after earlier setting a six-week trading high at 113.47.
However, the pair quickly found strong dip buying demand around the 200-day moving average, and the USDJPY pair quickly regained the 113 handle.
The USDJPY pair is bullish on all timeframes and now trades back above the daily pivot point, at 112.08.
Technical resistance for the pair is found at the M5 time frame, 200-period moving average at 113.23, and the recent price high at 113.47.
Furthermore, the pair is now creating a bullish inverse head and shoulders pattern on M1 and M5 timeframes.
To the downside, support is found at 112.97 and the 200-day moving average, at 112.69.