Daily Pivots: (S1) 118.25; (P) 118.69; (R1) 119.19; More…
USD/JPY’s rally resumed after brief consolidation and hits as high as 119.11 so far. Intraday bias is back on the upside. Next near term target is 100% projection of 109.11 to 116.34 from 114.40 at 121.63. On the downside, break of 117.68 support is now needed to indicate short term topping. Otherwise, outlook will stay bullish in case of retreat.
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). Sustained break of 118.65 (2016 high) will pave the way to 125.85 (2015 high) and raise the chance of long term up trend resumption. This will remain the favored case as long as 113.46 support holds, even in case of deep pull back.
