USD/JPY Daily Analysis
USD/JPY’s break of 129.77 minor resistance indicates that pull back from 131.34 has been completed with three waves down to 126.35. Intraday bias stays on the upside for 131.34 first. A firm break there will confirm uptrend resumption. The next target is a 61.8% projection of 114.40 to 131.34 from 126.35 at 136.81. On the downside, below 128.45 minor support will delay the bullish case and turn bias neutral first.
In the bigger picture, the current rally is seen as part of the long-term uptrend from 75.56 (2011 low). Sustained trading above 61.8% projection of 75.56 (2011 low) to 125.85 (2015 high) from 98.97 at 130.04 will pave the way to 100% projection at 149.26, which is close to 147.68 (1998 high). For now, this will remain the favored case as long as 121.27 support holds.
