The USDJPY continues to tread water around the daily .886 retrace of the drop from Jan 2.

The futures went nowhere on BOJ’s non-action on rates or QE, but raced ahead 10 points on hopes that the ECB would pump up the volume.  As usual, Draghi’s speech was long on promises but lacking on real import.

continued for members…

If the past is any indication, the algos won’t care much about the “plan’s” shortcomings.  Support remains at the SMA10 (1997.97.)

If that should break, though, the bigger picture still shows a break and backtest of the rising white channel at the .786 line of the larger white channel.

It would be quite normal to get a backtest of the white midline down around 1981.  The SMA20 is currently at 1977 and the red 1.618 is at 1981.47.  We did have a reversal at the red .786, so a Crab Pattern down to the 1.618 is a possibility.  Maybe in the next few days…?

UPDATE:  3PM

Looks like at least an interim bounce here at the SMA10’s…