Daily Pivots: (S1) 108.43; (P) 108.76; (R1) 108.94; More…
Intraday bias in USD/JPY is turned neutral first with the retreat from 109.06. On the upside, above 109.06 will extend the rebound from 107.47 to 109.95 resistance first. Break there will bring retest of 110.95 high. On the downside, break of 108.19 minor support will turn bias back to the downside for 107.47 support, and then 61.8% retracement of 102.58 to 110.95 at 105.77.
In the bigger picture, rise from 102.58 might have completed at 110.95, as the third leg of the pattern from 101.18 low. Medium term outlook is neutral first, as the pair could have turned into sideway trading between 101.18/111.71. We’d look at the structure and momentum of the price actions from 110.95 to gauge the chance of upside breakout at a later stage.
