Daily Pivots: (S1) 111.69; (P) 111.92; (R1) 112.11; More…
USD/JPY edged higher to 112.13 but retreated again and continues to loss momentum. Intraday bias remains neutral for more consolidative trading. In case of deeper pull back, downside should be contained above 110.35 support to bring another rally. On the upside, above 112.13 will resume rise from 104.69 for 114.54 resistance next.
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 110.35 support holds.
