USD/JPY Mid-Day Outlook

Daily Pivots: (S1) 108.11; (P) 108.68; (R1) 109.70; More..

Intraday bias in USD/JPY remains on the upside for 109.72 resistance. Firm break there will resume whole rise from 104.45 to channel resistance (now at 111.51). On the downside, below 109.00 minor support will turn intraday bias neutral first. But overall outlook will remain bullish as long as 38.2% retracement of 104.45 to 109.72 at 107.70 holds.

In the bigger picture, USD/JPY is staying in long term falling channel that started at 118.65 (Dec. 2016). Recovery from 104.45 also failed to sustain above 55 week EMA (now at 109.02). Overall outlook remains bearish and fall from 118.65 is in favor to extend through 104.45 low. This will now stay as the favored case as long as 109.72 resistance holds.