USDJPY: With USDJPY reversing its Tuesday gains to close lower on sell off on Wednesday, further downside pressure is envisaged. However, a corrective recovery higher may occur in the days ahead especially now that it has tested its key support at 105.43 level (visible on the weekly chart).
On the downside, support comes in at the 105.00 level where a break will target the 104.50 level. Below here if seen will aim at the 104.00 level followed by the 103.50 and then the 103.00.
On the upside, resistance resides at the 106.50 level followed by the 107.00 level where a break will target the 107.50 level. Further out, resistance comes in at the 108.00 level where a violation will aim at the 108.50 level. On the whole, USDJPY remains exposed to the downside.
