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Breaking Bearish Channel

USDJPY TECHS
  • RES 4: 104.58 High Dec 10
  • RES 3: 103.98 50-day EMA
  • RES 2: 103.96 High Jan 7
  • RES 1: 104.00 50-DMA
  • PRICE: 103.96 @ 17:36 GMT Jan 7
  • SUP 1: 102.59 Low Jan 6
  • SUP 2: 102.02 Low Mar 10
  • SUP 3: 101.63 1.382 proj of Oct 7 - Nov 6 downleg from Nov 11 high
  • SUP 4: 101.29 1.500 proj of Oct 7 - Nov 6 downleg from Nov 11 high

USDJPY traded to a fresh trend low early Wednesday but has bounced sharply since. Despite the bounce, a bearish focus prevails following this week's breach of 102.88, Dec 17 low. Nonetheless, the Thursday rally provides a decent challenge. If the 104.00 is broken and convincingly cleared, this could spell an end to the multi-month downturn. A turn lower needs to target 102.02, Mar 10, 2020 low to gain downside traction.

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