USD/JPY Daily Analysis
USD/JPY’s rally is still in progress for 139.37 high. Strong resistance could be seen there to limit the upside, to start the third leg of the corrective pattern from 139.37. A break of 136.17 minor support will turn bias back to the downside for 130.38 support. Nevertheless, a decisive break of 139.37 will confirm up-trend resumption for 147.68 long-term resistance.
In the bigger picture, price actions from 139.37 medium-term top are seen as a corrective pattern to an up trend from 101.18 (2020 low). While deeper decline cannot be ruled out, the outlook will stay bullish as long as 55 weeks’ EMA (now at 123.72) holds. The long-term up trend is expected to resume through 139.37 at a later stage after the correction finishes. The next target is 147.68 (1998 high).