FX.co ★ Short-term support respected in USDJPY.

Red lines- bullish channel

Blue rectangle- support

USDJPY is trading around 146.36 after testing the horizontal support at 145.20. Price respected the recent lows and has not broken below 145-145.20. Price is bouncing but bulls have a lot of work to do in order to reclaim control of the trend. Recent price action has confirmed the importance of the support at 145-145.20. A break below this level would be a bearish signal. Until then and as long as price is above this support, bulls have hopes for a bigger bounce. Resistance is found at 147.80 and a move towards that level is not out of the question.