USDJPY: Halts Upside, Faces Bear Threats.
With USDJPY failing to continue higher through the 111.04 levels, a short term resistance has been printed at the 111.03 levels, while its immediate risk remains higher, the USDJPY will have to break and hold above the 111.04 levels on a daily closing basis to prevent a return to the downside.
Daily chart suggests a reversal from 111.04, this level has been rejected with a bearish divergence on the 4-hour timeframe.
Immediate support stands at the 110.05 levels where a cut will aim the 109.23 levels, a halt is likely and a reversal may occur here, but a cut through the 109.23 levels will suggest that rise from 107.31 is over at the 111.03 levels and a lower leg below the 107.31 levels is likely…
On the upside, resistance stands at the 111.04 levels with a break above here restoring the upside momentum and opening the way to the 112.18 levels, we might see hesitation, but a break will turn the focus on the 113.15 levels ahead of the 114.00 levels.