USDJPY might be forming a cycle top at 108.58 on daily chart. Pullback to retest the support of the price channel is expected in next few days. Initial resistance is at 108.58, only break of this level will signal resumption of up trend. However, the fall from 108.58 is treated as consolidation to up trend. Initial support is at the edge of the price channel and key support is located at 104.44, only fall below this level will signal reversal to up trend.
For long term analysis, USDJPY formed a long term cycle bottom at 95.77 on weekly chart. Further rise to 110.00 to reach next cycle top is in favor.
