Daily Pivots: (S1) 104.40; (P) 104.78; (R1) 105.00; More...
Intraday bias in USD/JPY remains mildly on the downside at this point. Current development, with the pair staying below 55 day EMA and falling channel, suggest that decline from 111.71 is still in progress. Retest of 103.17 low should be seen first. Nevertheless, on the upside, break of 105.67 will target 106.10 resistance.
In the bigger picture, USD/JPY is still staying in long term falling channel that started back in 118.65 (Dec. 2016). Hence, there is no clear indication of trend reversal yet. The down trend could still extend through 101.18 low. On the upside, break of 106.10 resistance is needed to be the first signal of medium term reversal. Otherwise, outlook will remain bearish.
