USDJPY Upside Threat within the Broader Range

Technical Analysis

A still firmer rebound as we had anticipated for Tuesday to build on the bullish outside and engulfing pattern Monday to probe above 119.75 and aim for a further upside targets in the broader range.

For Today:

  • We see an upside bias for 120.12; break here aims for 120.45, maybe 120.85, which we would look to try to cap.
  • But below 119.28 opens risk down to 118.93, which we would look to try to hold.

Short/ Intermediate-term Range Parameters: We see the broader range defined by 121.20 and 118.14.

Range Breakout Challenge

  • Upside: Above 121.20 aims higher for the new 122.02 peak and to a key long term retracement at 122.45.
  • Downside: Below 118.15 sees risk lower for 117.17 and 116.64.

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