Daily Pivots: (S1) 136.20; (P) 136.81; (R1) 137.66; More…
USD/JPY’s break of 137.66 support turned resistance suggests short term bottoming at 133.61, on bullish convergence condition in 4 hour MACD, ahead of 133.07 medium term fibonacci level. Intraday bias is back on the upside for 55 day EMA (now at 141.41). On the downside, below 135.95 minor support will bring retest of 133.61 instead.
In the bigger picture, a medium term top should be formed at 151.93. Fall from there is correcting larger up trend from 102.58. It’s too early to call for bearish trend reversal. But even as a corrective move, such decline should target 38.2% retracement of 102.58 to 151.93 at 133.07, or further to 55 week EMA (now at 131.33). Some support should be seen around this zone to bring rebound. However, sustained break of 55 week EMA will pave the way to 61.8% retracement at 121.43.
