RBA Minutes Suggested More Easing

USD/JPY Daily Outlook

Daily Pivots: (S1) 81.12; (P) 81.36; (R1) 81.63; More..

Intraday bias in USD/JPY remains neutral and more consolidations could be seen below 81.58 temporary top. But downside should be contained above 80.11 support and bring another rally. Sustained break of 61.8% retracement of 84.17 to 77.13 at 81.48 will pave the way to retest 84.17 resistance next.

In the bigger picture, rise from 77.13 is viewed as a leg inside the consolidation pattern from 75.56. Such rally could extend to 84.17 and above. But after all, there is no clear indication of long term trend reversal yet. As long as 85.51 resistance holds, we'd expect the downside from 124.13 to resume sooner or later to a new low below 75.56.