USDJPY has completed an initial move from the 50% retracement level of the 2011 - 2015 rally and now faces resistance at 106.65 (38%)
Whilst momentum oscillators were previously oversold on both weekly and daily intervals, and are far from overbought in terms of the RSI, one might expect sellers to return around this level.
A sustained break above 106.65 targets a return towards the 2015 high near 125, although if this level is rejected then support will be tested around 104 and 102.50. If these levels fail then 100.71 represents a major pivot, targeting a new leg down towards 94.78 if broken.
Whilst momentum oscillators were previously oversold on both weekly and daily intervals, and are far from overbought in terms of the RSI, one might expect sellers to return around this level.
A sustained break above 106.65 targets a return towards the 2015 high near 125, although if this level is rejected then support will be tested around 104 and 102.50. If these levels fail then 100.71 represents a major pivot, targeting a new leg down towards 94.78 if broken.