Victorious march of bulls for USDJPY has been going on for 3 weeks. During this period there was no significant correction. In the medium term trend changed from bearish to bullish has already become a fact, however, occurring in the near term correction after such a dynamic move is only a matter of time. We only can wonder whether it is the current resistance level of 114.00 which will trigger this correction.
If shortly starts a correction on USDJPY than immediate supply level will be at 111.30. However this level does not cover even the basic abolition of the fibo 38.2%. Slightly below the support area of 110.00 is mentioned abolition of the three-week growth. However, if the supply would be quite strong this decline can reach up to the level of 106.80 just below which we have abolition of 61.8%, which is a frequent target of correction movements. However, if in fact it is the resistance at 114.00 which will trigger this correction remains an open question but this level should be watched in term of opening positions in response to price behaviour on this level.
