USD/JPY’s Decline Extension

Break of 111.54 confirms that the decline from 114.49 is extending. Trading turned up on the downside. Following pivot points include: (S1) 111.44; (P) 111.93; (R1) 112.38.

Steady trading under 55 day EMA will cause larger fall towards 108.81 support. Breach in that place will prolong the intact correction from 118.65 to 61.8% retracement of 98.97 to 118.65 at 106.48. Breach of 112.41 will shift the attention to the 114.49 resistance.

The lift from 98.97 keeps progressing. Breach of 118.65 will head towards a test on 125.85 maximum. Expansion of the long term uptrend from 75.56 is unlikely. Formation of a top around 125.85 will be closely watched. If decline from 118.65 moves downwards, 61.8% retracement of 98.97 to 118.65 at 106.48 should restrain the downside and cause recoil.