The ISM below 50 for the 1st time in 3 years (biggest one month drops since 2001) has the USDJPY on the defensive. The price fell to the 100 hour MA and 50% of the move up on Friday at the 79.544. A break below and the the 79.445 low for the day and 61.8% retracement becomes the next downside hurdle.  A move below opens the door for a test of the lows from last weeks trading (79.23 and 79.12 the next hurdles).

 The USDJPY has been in the doing a bunch of nothing over the last 5 days with the low to high range of about 84 pips. The price is between the 100 and 200 day MAs on the daily chart. Ultimately a move above or below the extremes will be needed to get the pair out of its funk. In the meantime, traders will likely use the shorter term charts for bias clues and look for the breaks of support/resistance to dominate the trading market.