Daily Pivots: (S1) 113.11; (P) 113.23; (R1) 113.35; More…
A temporary top is in place at 113.63, ahead of 113.74 resistance. Intraday bias is turned neutral first. Overall, near term outlook remains bullish as long as 112.02 support holds. Break of 113.74 will resume the rebound from 110.83 and target 114.73 key resistance. Decisive break there will carry larger bullish implications.
In the bigger picture, we’re holding on to the view that correction from 118.65 is completed at 107.31. And medium term rise from 98.97 (2016 low) is going to resume soon. Sustained break of 114.73 should affirm our view and send USD/JPY through 118.65. However, break of 107.31 will dampen this view and extend the medium term fall back to 98.97 low.
