USDJPY: Recovers With Caution!
As long as 111.75/112.16 support holds on a daily closing basis, the USDJPY remains in a recovery mode and further upside couldn’t be ruled out, but recovery above 111.75 should be limited by 112.94/113.22 levels where rejection is likely, above 113.22 will extend the corrective recovery to 113.85 levels, further upside, resistance comes at 114.52 levels.
On the downside, support comes at 112.16 level ahead of 111.75 levels, a cut through support will restore the downside momentum and aim 111.05 level, further down, support comes at 110.53 level ahead of 110.05 level.
Conclusion: The USDJPY continues to face recovery threats above 111.75 level with caution.
Support: 112.16, 111.75, 111.05, 110.53
Resistance: 112.94, 113.22, 113.85, 114.52
Note: The pair is around weekly resistance 112.90 where rejection is likely as the weekly chart suggests.
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