Daily Pivots: (S1) 107.15; (P) 108.42; (R1) 109.32; More..
USD/JPY’s fall from 112.22 is still in progress and intraday bias remains on the downside. As noted before, whole rise form 104.45 has completed after rejection by 112.40 resistance. Sustained break of 107.65 support will pave the way to retest 104.45 low. On the upside, above 108.86 minor resistance will turn intraday bias neutral first. But risk will now remain on the downside as long as 112.22 resistance holds.
In the bigger picture, current steep decline and rejection by 112.40 resistance mixes up the medium term outlook again. Sustained break of 108.30 support will argue that larger fall from 118.65 (Dec 2016) hasn’t completed. Further fall could be seen through 104.45 low. Nevertheless, break of 112.40 resistance will revive the case of bullish reversal and target 114.54 key resistance for confirmation.