Daily Pivots: (S1) 108.79; (P) 109.00; (R1) 109.37; More..
USD/JPY’s rally resumes after brief retreat is focus is now on 109.38 resistance. Sustained break there will extend the rise from 105.98 to retest 111.71 high. For now, further rally will remain in favor as long as 108.08 resistance turned support holds, in case of retreat.
In the bigger picture, at this point, whole decline from 118.65 (Dec 2016) continues to display a corrective look, with well channeling. There is no clear sign of completion yet. Break of 101.18 will target 98.97 (2016 low). Meanwhile, sustained break of 112.22 should confirm completion of the decline and turn outlook bullish for 118.65 and above.
