USD/JPY has been falling from the current high on the year at 110.08 made in late September. In October, it has been in a bearish correction mode. But now it is finding support at the old 2014-high. Will it resume the bullish trend?
USD/JPY cleared below 107 this week after poor US data. However, it found support at the old 2014-high at 105.44. It is now mounting a rebound above 106.50 and is testing October’s falling trendline. A break above that and then above the previous resistance pivot at 107.50 would likely reflect bullish continuation. Before that however, we might get some consolidation between the 106 and 107 area as the market shifts away from October’s bearish mode, that is IF price breaks above this October trendline. If it doesn’t USD/JPY is still bearish, with pressure back toward this week’s lows around 105.20.
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