USD/JPY: Consolidation Extends
Trading tone is still neutral for consolidation below temporary high 109.53. Deeper retreat is not excluded. Following pivot points include: (S1) 109.04; (P) 109.25; (R1) 109.52.
Trading above 109.53 will renew the growth from 104.62 to 61.8% retracement of 114.73 to 104.62 at 108.48 from 110.86. Downside should be contained by resistance turned support 107.77.
A corrective drop from 118.65 has completed with three waves down to 104.62. So that, growth from 98.97 could be resuming. Focus is on resistance 114.73. Overcoming of 114.73 will aline 118.65 and above. This will now be the preferred case while the pair stays above 55 day EMA (now at 107.60).