Daily Pivots: (S1) 107.62; (P) 108.10; (R1) 109.82; More..
Intraday bias in USD/JPY remains neutral for consolidation above 107.36 temporary low. Another recovery cannot be ruled out. But upside should be limited below 109.89 minor resistance to bring another decline. As noted before, whole rise form 104.45 has completed after rejection by 112.40 resistance. Break of 107.36 will target a test on 104.45 low.
In the bigger picture, current steep decline and rejection by 112.40 resistance mixes up the medium term outlook again. Sustained break of 108.30 support will argue that larger fall from 118.65 (Dec 2016) hasn’t completed. Further fall could be seen through 104.45 low. Nevertheless, break of 112.40 resistance will revive the case of bullish reversal and target 114.54 key resistance for confirmation.
