In previous analysis from February 9 I indicated weakness of the bulls at USDJPY and possibility of price movement towards 109.80. I wrote: ‘Demand is weak and support at 116.10 wasn’t defended. Nearest supports are at 114.00, 112.30. However it is likely that even support at 109.80 may be tested’.
Indeed price fell below support 112.30, however rebound occurred earlier at 111.00. Demand’s reaction was strong and price returned sharply above 112.30. Today price is continuing upward movement and resistance at 114.00 was broken. Target for current upward movement is at 116.10. Return above 116.10 will be a bullish signal, but rebound from that level will give better chance for the bears.
Time-frame D1
