USD/JPY Pulled Back
The pair didn’t manage to breach 111.39 resistance. It also tried to rally but pulled back. Trading is now neutral. Sustained breach of 111.39 will extend intact rally from the minimum of 104.62. Following pivot points include: (S1) 110.78; (P) 111.07; (R1) 111.33.
Medium term reversal is expected. USD/JPY should also align 114.73 resistance. Breach of 110.34 will confirm short term reversal. The consolidation pattern from 111.39 would begin extending to 108.10 and then complete.
The corrective fall from 118.65 should have finished at 104.62. USD/JPY is restricted inside of medium term falling channel from 118.65. Firm breach of 61.8% retracement of 104.62 to 111.39 at 107.20 will extend the decrease from 118.65 through the minimum of 104.62.