USDJPY (111.46): The USDJPY looks to have stalled in its declines above the 110.70 support level. However, the downside bias remains as we expect to see a firm test of support at this level. On the 4-hour chart, USDJPY has managed to post a bounce off the support region near 111.00 – 110.88 level. As long as this support level holds, USDJPY could remain range bound in the short term. Resistance level formed at 112.00 will be most likely tested but further gains are unlikely. The currency pair will have to form a higher low in order to confirm further upside. Above 112.00 the next main target for USDJPY will be the 113.00 handle..
