Dollar yen grinds lower to the 120.00 level from last Friday's high of 121.20 following a lacklaster Asian session with the high of 120.60. Bear players are steadily chewing through the bids in Europe. 120.00 appears to be a pivot point, with some sell stops below this level.
The 14 day moving average rebounds on the 30 minute chart from 119.52 to 120.80 and has been caught in this position squaring adjustments and sold to the 120.16 level. The 14 DMA also fullfills the inverted fibonacci retracements at 120.16 (38.2%) and 120.00 (50.0%) which are the two current support levels with 119.80 (61.8%) at the next fibo support.
The US dollar is slightly offered combined with some EURJPY selling 134.70 to 134.15. FOMC member Dudley speaks today at 12:30 GMT to offer some clues on the Fed policy direction. Medium demand at 119.50. 119.20 Sept Low. 121.00 looks toppish from the double top formation on the 30-day chart.
Chart: WorldWideMarkets Alpha Trader