Last week USDJPY crashed through support at 111.00. Declines were continued through 109.80, until 107.65 level – where the price finally rebounded. Mentioned 109.80 level, which earlier acted as a support, was easly broken and right now stopped upward movement. Just a little higher 38.2% Fibonacci level of previous downward movement is located.
Basic correction was accomplished so it is likely that new downtrend wave will occurr. Target for such a movement is at 105.90. At that level is stronger support which should cause a rebound. For now this is all what bulls can count on, because as you can see at daily TF it is too early to think about trend reversal in a mid-term.
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Time-frame H1
Time-frame D1
