USD/JPY Daily Analysis
The minor resistance of 132.99 has been breached by USD/JPY, indicating that the decline from 137.90 may have ended at 129.62. The rebound from this level is regarded as another component of the corrective pattern from the low of 127.20, and the intraday bias is now back on the upside for a stronger rebound. However, if the level of 129.62 is breached, a retest of the low of 127.20 is likely.
In the bigger picture, the corrective pattern from the low of 127.20 may be continuing. Nevertheless, the downtrend from 151.93 is expected to resume at a later stage. A break of the level of 127.20 will resume this downtrend and aim for the 61.8% projection level of 151.93 to 127.20 from 137.90 at 122.61. This will be the preferred scenario as long as the resistance of 137.90 is sustained.
