@jthompson414 on USDJPY | PriceONN Community
USDJPY seems to be consolidating here in the low 158s. Given the recent bearish momentum and the fact that it's trading below the 20 and 50 SMAs, I suspect we might see a slight push downwards. However, liquidity is thin in this session, so I don't anticipate a massive move. A test of the 158.60 support level is plausible.
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Actually, thinking more about that consolidation, it's also possible this quiet period is just building energy for a move. While I leaned bearish on the recent price action and indicators being below the key moving averages, this lack of movement could also be interpreted as a pause before a reversal. If we see a strong break above the 158.90 level, especially with some increased volume, that would definitely change my outlook. It's a bit of a coin toss right now in this low liquidity environment, and I'm not comfortable entering any new positions until there's clearer direction. Maybe waiting for the Tokyo open will give us more insight.