USD/JPY tests confluence of 4-hr 200-MA & Pivot

USD/JPY is struggling to take out the confluence of the 4-hr 200-MA and Pivot resistance around 101.75 levels ahead of the BOJ policy decision due later today.

Japan posts trade deficit, markets ignore

The latest data out of Japan showed a surprise trade deficit for the month of August. However, the Dollar-Yen pair hardly batted an eye as the focus remains on the what the BOJ would do later today.

Moreover, there are too many permutations and combinations given that whatever BOJ does today could be quickly undone by what Fed does later today.

USD/JPY Technical Levels

Acceptance above 101.75 (4-hr 200-MA & Pivot point) could yield 102.00 (Pivot R1) above which the spot could target 102.49 (4-hr 100-MA). On the lower side, breach of 101.46 (Pivot S1) would open doors for a cut through 101.00 levels and drop to 100.71 (50% of 2011 low – 2015 high).