USD/JPY Daily Outlook

USD/JPY Daily Outlook

Daily Pivots: (S1) 81.29; (P) 81.52; (R1) 81.91; More..

Intraday bias in USD/JPY remains on the upside for the moment. Current rally from 77.13 might now target a retest on 84.17 resistance next. On the downside,below 81.13 will bring retreat, possibly to 4 hours 55 EMA (now at 80.72) before staging another rally.

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.