FxWirePro: Bearish bias builds on USD/JPY intraday charts, focus on FOMC

• USD/JPY trades a narrow range as markets wary ahead of the FOMC meet which is a key event risk.
   
• Price action has slipped below 20-SMA on the 4-hourly charts and below 100-SMA on 1H charts. 
   
• We notice build-up of a bearish bias on intraday charts. We see limited scope for a bullish breakout.
   
• Markets have largely priced in a Fed funds rate hike to a 0.50%-0.75%. Yellen’s press conference will be watched for any surprises.
   
• Support levels - 114.87 (5-DMA), 114.42 (1H 200-MA), 114, 113.19 (20-DMA)
   
• Resistance levels - 115.15 (1H 20-MA), 116, 116.12 (Dec 12 high)
   

Recommendation: Sell rallies around 115, SL: 116, TP: 114.40/ 114/ 113.50
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FxWirePro's Hourly USD Spot Index was at -134.711 (Highly bearish), while Hourly JPY Spot Index was at -33.7061 (Neutral) at 1245 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.