USD/JPY Struggles Near Key 108.20 Level
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
-“5 waves up from the 2011 low are counted which raises the risk of a sharp reversal lower from the trendline that extends off of the 2001 and 2007 highs. 106.80 (reached today) and 105.40 are reaction levels for bounces. 107.50-108.20 is resistance and the near term picture is bearish below 108.80.”
-Former resistance at 105.43 served as support last week and USDJPY has already reached the 61.8% retracement of the decline. Another down leg is favored given the impulsive nature of the drop. Resistance extends from 108.20 to 108.87.
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