Daily Pivots: (S1) 104.52; (P) 104.90; (R1) 105.13; More...
USD/JPY’s decline resumes after brief consolidation and hits as low as 104.18. Intraday bias is back on the downside with focus on 100% projection of 111.71 to 105.98 from 109.85 at 104.12. Firm break there will extend recent fall to 138.2% projection at 101.93 next. On the upside, though, above 105.29 minor resistance will suggest short term bottoming and bring stronger rebound.
In the bigger picture, USD/JPY is still staying in long term falling channel that started back in 118.65 (Dec. 2016). Hence, there is no clear indication of trend reversal yet. The down trend could still extend through 101.18 low. However, sustained break of 112.22 should confirm completion of the down trend and turn outlook bullish for 118.65 and above.
