USD/JPY bounce from 106.65 low continues, heading along the 107.70 range. The bearish pattern started in January 2018 is somewhat weakening. Hourly support and resistance are given at 104.30 (08/11/2016 low) and 107.90 (14/02/2018 high). The short-term technical structure suggests continued short-term upward moves.
We favor a long-term bearish bias. Support remains at 101.20 (09/11/2016 low). A gradual rise toward the major resistance at 125.86 (05/06/2015 high) seems unlikely. Expected to decline further support at 101.20 (09/11/2016 low). The pair trades below its 200 DMA.
