Daily Pivots: (S1) 147.28; (P) 148.34; (R1) 149.08; More…
Intraday bias in USD/JPY remains on the downside for 38.2% retracement of 140.25 to 150.87 at 146.81. Sustained break of there will argue that fall from 150.87 is reversing the whole rally from 140.25. In this case, deeper decline would be seen to 61.8% retracement at 144.30 and below. Nevertheless, strong support from 146.81, followed by break of 149.20 resistance, will argue that fall from 150.87 is merely a correction, which has completed already.
In the bigger picture, outlook is mixed up as fall from 150.87 accelerates lower. Sustained trading below 55 D EMA (now at 148.45) will open up the case that corrective pattern from 151.89 (2023 high) is extending, with fall from 150.87 as the third leg. In this case, deeper decline would be seen to 140.25 support or below. Nevertheless, strong bounce from 55 D EMA will retain near term bullishness for at least another take on 151.89.
