USD/JPY consolidating with light bullish bias

FXStreet (Moscow) - USD/JPY is sitting in a tight range, marginally higher on the day at 107.23 as the market is getting ready to a busy day.

Trapped in a range above 107.00

USD/JPY dipped to 106.80, but managed to recover towards 107.12 by the end of the day on Tuesday. The downside was triggered by major USD sell-off across the board following the news about Chinese QE program and speculations about dovish Yellen. Obviously, investors are climbing walls ahead of the key event of the week, as a result the market volatility is growing. From the technical point of view, USD/JPY bulls bumped into a brick wall at 107.30 resistance, but as long was the pair trades above 107.00 pivot, consolidation with bullish bias will prevail. Anyway it would be too complacent to claim that the pair has topped out ahead of FOMC statement.

What are today’s key USD/JPY levels?

Today's central pivot point can be found at 107.09 with support below at 106.85, 106.55 and 106.29 with resistance above at 107.38 107.64, and 107.93. Hourly Moving Averages are bullish, with the 200SMA bullish at 106.46 and the daily 20EMA bullish at 105.41. Hourly RSI is bullish at 53