USD/JPY Daily Analysis
Intraday bias in USD/JPY is turned neutral first on the loss of downside momentum. A break of 137.66 resistance will indicate short-term bottoming, on bullish convergence condition in 4-hour MACD, ahead of 133.07 medium-term Fibonacci level. Intraday bias will be returned to the downside for the 142.24 resistance first. However, another decline could still be seen to 133.07 medium-term Fibonacci level or further to 55-week EMA.
In the bigger picture, a medium-term top should be formed at 151.93. Fall from there is correcting larger up trend from 102.58. It’s too early to call for a bearish trend reversal. But even as a corrective move, such a decline should target a 38.2% retracement of 102.58 to 151.93 at 133.07, or further to 55-week EMA (now at 131.33). Some support should be seen around this zone to bring a rebound. However, a sustained break of 55 weeks EMA will pave the way to a 61.8% retracement at 121.43.
