Daily Pivots: (S1) 114.61; (P) 114.87; (R1) 115.01; More…
USD/JPY’s fall from 116.33 is still in progress and intraday bias stays on the downside for 114.14 support. such decline is seen as the third leg of the corrective pattern from 116.34. Break of 114.14 and will target 113.46 support and below. On the upside, however, above 115.28 minor resistance will mix up the near term outlook and turn intraday bias neutral first.
In the bigger picture, no change in the view that rise from 102.58 is the third leg of the up trend from 101.18 (2020 low). Such rally should target a test on 118.65 (2016 high). Sustained break there will pave the way to 120.85 (2015 high) and raise the chance of long term up trend resumption. This will remain the favored case as long as 55 week EMA (now at 111.61) holds.
