USD/JPY Couldn’t Break Below 100.00

Despite the announcement yesterday that FED is keeping the interest rate as it is which caused the expected volatility and USD/JPY continue dropping, the pair still could not break below the strong support level at 100.00 and bounced off of it eventually. The pair has consolidated above this level for months now and so far there is no indication that it will succeed in breaking below it any time soon. At this point I believe it is more likely for us to see a new move to the upside, towards the first resistance level at 102.20 first, and if the pair breaks out above that level then a further move to the upside towards 103.90 – 104.00, which coincides with (MA)89 on the daily time frame.