USD/JPY is declining further after reaching the 106 range, suggesting a potential decrease to 105. Hourly resistances remain at 111.50 (18/01/2018) and 113.75 (12/12/2017 high). The technical structure suggests short-term downside moves.
We favor a long-term bearish bias. Support at 105.55 (03/05/2016 low) is almost reached. A gradual rise toward the major resistance at 125.86 (05/06/2015 high) seems unlikely. Expected to decline further support at 101.20 (09/11/2016 low).