USD/JPY Backed By Support

USD/JPY went as low as 110.15 in the early trading hours of the European session today. Bulls, however, were quick to buy the dip as it just touched upon the support line on the medium term ascending trading channel.

Currently, USD/JPY is trading at 110.75, as the Yen is depreciating against major currencies. If the bulls could keep the momentum going, we could see first bull target at 112.30 this week.

On the other hand, Japanese bulls might not be yet ready to admit defeat and we could see the pair do another leg down below the support at 110.10. If that happens, major bear target will be seen at 106.00

Chart: USD/JPY H4