The US dollar is starting to look more bearish against the Japanese yen currency after the pair was strongly rejected from the 109.78 resistance area. The USDJPY pair is now trading back towards the neckline of a large head and shoulders pattern across multiple time frames. If the pattern breaks to the downside then a major sell-off towards the 108.30 area is very likely.
The USDJPY pair is only bullish while trading above the 109.30 level, key resistance is found at the 109.50 and 109.78 levels.
The USDJPY pair is only bearish while trading below the 109.30 level, key support is found at the 108.80 and 108.30 levels.
