USDJPY tests triangle support.

The move lower today in the USDJPY was not something the bulls want to see. First of all, we could not put a finger on a reason for the move. Additionally, we are challenging triangle support from the March spike lows. Some traders may see a head and shoulders pattern (red). Personally, I don’t like head and shoulders patterns that are not signaling a trend reversal, but I know some may be viewing it this way. However, what I will be watching carefully will be the 104.00 level which has held strong as support all summer. A break of the 104.23 would be bearish since this is the trend line and 88% retracement of the Sept lows to recent highs is there.