Daily Pivots: (S1) 110.87; (P) 111.18; (R1) 111.70; More…
USD/JPY’s rise from 104.69 resumed and accelerates to as high as 111.76 so far. Intraday bias remains on the upside. Current rise should now target 114.54 resistance next. On the downside, break of 110.35 support is needed to indicate short term topping. Otherwise, outlook will now remain bullish in case of retreat.
In the bigger picture, current strong rebound from 104.69 argues that decline from 118.65 (2016 high) has completed with three waves down to 104.69, after failing 104.62. More importantly, the rise from 98.97 (2016 low) could be resuming. Focus now turns back to 114.54 resistance, decisive break there will add more credence to this bullish case and target 118.65. This will now be the favored case as long as 55 day EMA (now at 110.59) holds.
