Being contained by the support of the lower border of the price channel on daily chart, USDJPY rebounds from 91.73 level. However, the rise is more likely consolidation of downtrend from 98.88, deeper decline is still possible after consolidation. Near term resistance is now at 95.50, as long as this level holds, we’d expect downtrend to continue.
For long term analysis, USDJPY formed a cycle top at 101.43 level on weekly chart. Consolidation in a range between 97.12 and 101.43 is expected in next several weeks.
