The pair opened at Y118.49 this morning and early dealings saw broad-based USD buying that followed the ECB QE decision overnight spark a dollar-yen bounce back towards the Y118.86 level that capped Tuesday/Wednesday morning. The rise took out the 21-day moving average at Y118.79 and continued inching higher as Japanese accounts were also spotted bidding yen crosses higher soon after Japanese stocks opened. The pair got up to a Y118.82 high but ran into sellers off that high which capped the gains for the morning. Dollar-yen eased as yen crosses also began to lose ground on talk of selling by Japanese exporters. Dollar-yen slid back through the opening levels and went to a low of Y118.24 in the late morning. It last traded at Y118.43. Further up, stops are seen above Y119.00 while only a close today above the 21-day would then shift the immediate focus to Y120.00.
