USDJPY (111.99): The USDJPY closed on a bullish note yesterday following the inside bar pattern that was formed on Tuesday. The upside momentum could continue but price action is seen testing the resistance level at 112.00. In the near term, USDJPY could be seen giving up the short-term gains. Support is found at 111.61 – 111.57 region. USDJPY will need to form a higher low around this level and breakout above the resistance area of 112.00 to target the next main resistance level of 113.00. For the downside, in the event that the USDJPY slips below 111.61 – 111.57 we expect a deeper test back to the previous support level near 111.00.
