Daily Pivots: (S1) 107.19; (P) 107.36; (R1) 107.47; More…
USD/JPY’s decline resumed after brief consolidations and reaches as low as 106.78 so far. Intraday bias is back on the downside. Current fall from 112.40 should target 104.69 low next. On the upside, above 107.73 minor resistance will turn intraday bias neutral again. But outlook will remain bearish as long as 108.80 resistance holds.
In the bigger picture, decline from 118.65 (Dec 2016) is still in progress, with the pair staying inside long term falling channel. Break of 104.62 will target 100% projection of 118.65 to 104.62 from 114.54 at 100.51. For now, we’d expect strong support above 98.97 (2016 low) to contain downside to bring rebound.
