Forex Trading:USD/JPY sells off overnight on better than expected Housing Starts. JPY crosses sold.

USDJPY sold off overnight as housing start rebounded for the first time in 13 months.  Part of the slump in construction has been a result of a change in construction regulations.  However, the credit conditions in Japan have tightened lately so caution should be applied.  In other data, employment rate went down but the Job to Applicants went down indicating there are not enough jobs to satsify workers who are looking for them.  Retail Sales were also higher, however, the gain can be attributed to higher prices for gasoline in July.  

Technically, the pair tested the 200 bar moving average and bounced. The MA comes in at 108.42. The low was 108.41. 

GBPJPY moved to a new 4+ month low reaching 198.35.  The last time the pair was this low was on April 14th 2008.  EURJPY moved to new 3 month lows reaching 159.72.