Daily Pivots: (S1) 108.84; (P) 109.01; (R1) 109.30; More…
USD/JPY rebound strongly today but stays in range of 108.34/109.77. Intraday bias remains neutral at this point. On the upside, above 109.77 will resume the rebound from 107.47 to retest 110.95 high. On the downside, break of 108.34 will turn bias back to the downside for 107.47 support and below.
In the bigger picture, medium term outlook is staying neutral with 111.71 resistance intact. We’d monitor the structure of the fall from 110.95, to assess whether it’s just correction to rise from 102.58 to 110.95, or a leg of a range pattern between 101.18 and 111.71, or starting another leg of the long term down trend.
