FX.co ★ USDJPY rejected at key resistance trend line

USDJPY is trading at 106 after getting rejected at the resistance by the downward sloping trend line at 106.50 area. This price action is a sign of weakness and if we see a push below short-term support at 105.30we should expect USDJPY to move even lower towards 104.

USDJPY seems unable to break above the pink line. So far we have three failed attempts. This is a bearish sign and that is why at current levels I prefer to be bearish. I would change my view on a daily close above 106.50. Confirmation of my bearish scenario will come when price breaks below the recent lows at 105.30