USD/JPY maintains its recovery phase, currently trading above 106 and slowly approaching hourly resistance at 107.27 (25/02/2018 high). The bearish pattern started in January 2018 is however maintained. Hourly support is given at 106.35 (16/02/2018 high). The short-term technical structure suggests further short-term increase.
We favor a long-term bearish bias. Support at 105.55 (03/05/2016) is now reached while further support at 101.20 (09/11/2016 low) is maintained. 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).
