Daily Pivots: (S1) 113.86; (P) 114.04; (R1) 114.31; More…
Intraday bias in USD/JPY is back on the upside as rise from 112.71 resumes. On the upside, sustained break of 114.69 will resume larger up trend for 100% projection of 102.58 to 111.65 from 109.11 at 118.18 next. On the downside, below 113.74 minor support will turn bias back to the downside to extend the consolidation pattern from 114.59. But, we’d continue to expect downside to be contained above 112.07 resistance turned support to bring rebound.
In the bigger picture, corrective decline from 118.65 (2016 high) should have completed at 101.18 already. Rise from the 102.58 is seen as the third leg of the up trend from 101.18. Next target is 114.54 resistance and then 118.65 high. This will now be the preferred case as long as 109.11 support hold, even in case of deep pull back.
