Daily Pivots: (S1) 110.04; (P) 110.62; (R1) 111.65; More….
Intraday bias in USD/JPY remains on the upside for the moment. Sustained break of 111.58 support turned resistance will indicate that fall from 118.65 is merely a corrective move and has completed. Outlook will then be turned bullish for 115.49 resistance and above. On the downside, break of 109.58 minor support is needed to confirm completion of the rebound from 108.12. Otherwise, further rally is still in favor even in case of retreat.
In the bigger picture, price actions from 125.85 high are seen as a corrective pattern. Current development suggests that it’s not completed yet and is extending. In case of deeper decline, downside should be contained by 61.8% retracement of 75.56 to 125.85 at 94.77 to bring rebound. Rise from 75.56 is still expected to resume later after the correction from 125.85 completes.
