The USD/JPY pair has been moving downwards since the 9th of November 2015, with the sellers leading the price from as high as 123.60 to as low as 122.73.
During the course of the session on Wednesday, the pair tried to rally, but fall back again to make another attempt today to test the resistance zone. With that being the case, in the pair’s effort to gain momentum and go higher, the price could break above the level of 123.07, and escalate up to 123.27 and 123.60 in extension.
Alternatively, in the scenario where the sellers manage to resume their bearish activities and the price pulls back to break below 122.73, the pair could decline down to 122.31 and 121.93 respectively.
Please note: The content in this daily technical analysis article should not be taken as investment advice. It comprises our personal view.