Daily Pivots: (S1) 135.62; (P) 135.92; (R1) 136.29; More…
USD/JPY recovers but stays below 136.99 resistance. Intraday bias remains neutral first. On the upside, sustained break of 136.99 will resume larger up trend to 100% projection of 114.40 to 131.34 from 126.35 at 143.29. On the downside, however, break of 134.25 will turn bias to the downside for deeper pull back to 131.34 resistance turned support.
In the bigger picture, current rally is seen as part of the long term up trend from 75.56 (2011 low). Next target is 100% projection of 75.56 (2011 low) to 125.85 (2015 high) from 98.97 at 149.26, which is close to 147.68 (1998 high). This will remain the favored case as long as 126.35 support holds.
