USD/JPY Formed a Near Term Bottom
The pair has slightly pulled back. Still, it’s holding over the minor support of 109.22. Trading stays on the upside till another lift for 111.47 resistance. USD/JPY formed a near term bottom at 108.27. Following pivot points include: (S1) 109.45; (P) 109.97; (R1) 110.65.
Firm breach of 111.47 reached 55 day EMA. Another increase should align the resistance area of 113.38/114.73. Under 109.22 minor support, 108.27 level will be aligned.
The corrective pattern from 118.65 is progressing. USD/JPY might decline to 61.8% retracement of 98.97 to 118.65 at 106.48, which will restrain downside and cause restoration of increase from 98.97. Firm breach of 106.48 will push the pair through 98.97 and thus the corrective drop from 125.85 will extend.