Reversal Lower Friday Opens 105.10

• RES 4: 107.71 Trendline resistance drawn off the Mar 24 high
• RES 3: 107.53 High Jul 20
• RES 2: 107.05 High Aug 13 and the bull trigger
• RES 1: 106.95 High Aug 28
• PRICE: 105.89 @ 16:19 BST Aug 31
• SUP 1: 105.20 Low Aug 28
• SUP 2: 105.10 Low Aug 19 and the intraday bear trigger
• SUP 3: 104.86 76.4% retracement of the Jul 31 - Aug 13 rally
• SUP 4: 104.19 Low Jul 31 and a major support

USDJPY sold off sharply Friday closing near session lows. In pattern terms, Friday is a bearish engulfing candle and highlights a potential bearish threat. The pullback exposes key near-term support at 105.10, Aug 19 low. A break of this level would add to the current bearish weight and potentially set the scene for a move towards 104.19, Jul 31 low. On the upside, a break of 106.95/107.05 is required to reinstate a bullish theme.