USD/JPY Mid-Day Outlook

Daily Pivots: (S1) 104.40; (P) 104.62; (R1) 104.83; More..

Intraday bias in USD/JPY remains neutral for the moment. On the downside, decisive break of 104.39 resistance turned support will indicate that rebound from 102.58 has completed at 105.76. Intraday bias will be turned to the downside for 103.31 support first. Though, rebound from current level, followed by break of 105.76 will target 38.2% retracement of 111.71 to 102.58 at 106.06.

In the bigger picture, USD/JPY is still staying in long term falling channel that started back in 118.65 (Dec. 2016), and there is no clear indication of trend reversal yet. Though, sustained trading above 55 week EMA (now at 105.90) will be the first sign of reversal and turn focus to channel resistance (now at 110.31).