Daily Pivots: (S1) 134.13; (P) 135.39; (R1) 136.04; More…
USD/JPY’s break of 135.13 support indicates short term topping at 137.76, after rejection by 137.90. Intraday bias is back on the downside for 133.00 support. Firm break there will target 129.62 support. But overall, as long as 129.62 holds, larger rebound from 127.20 is still in favor to resume at a later stage.
In the bigger picture, price actions from 151.93 high are currently seen as a corrective pattern to the long term up trend. The first leg should have completed at 127.20. Rebound from there is seen as the second leg. Sustained break of 31.8% retracement of 151.93 to 127.20 at 136.34 will bring stronger rebound to 61.8% retracement at 142.48. Meanwhile, break of 129.62 will argue that the third leg is starting through 127.20 low.
