USD/JPY turned quit bullish from the first week of January this year, climbing around 9 cents from 1.0260s to 111 until the end of March, as the USD decline stopped. In Fact, the JPY turned into one of the most bearish currencies during  the first quarter.

But, this month the USD has turned weaker once again, reversing this pair down. As a result this pair has lost around 350 pips this month. During this time, moving average shave been doing a great job as resistance during retraces higher on the H1 chart.

The 100 SMA (green) in particular has been the ultimate resistance indicator, reversing the price down several times. We have used this bearish trend to open a few sell signals, which have closed in profit as the decline continues. Today, we are seeing the price retreat higher and we are getting ready to open another sell forex signal at the 100 SMA.