USDJPY BOUNCE POSSIBLE

The US dollar is starting to recover higher against the Japanese yen currency after finding strong technical support from the 106.85 level. If bulls can hold price above the 107.50 level the USDJPY pair could start to advance towards the 108.90 resistance area. A large bullish reversal pattern may form on the lower time frame if the USDJPY pair reaches the 108.58 level.

• The USDJPY pair is only bearish while trading below the 108.90 level, key support is found at the 107.00 and 106.85 levels.

• The USDJPY pair is only bullish while trading above the 108.90 level, key resistance is found at the 109.80 and 110.50 levels.