USDJPY – bears are consolidating ahead of series of strong supports
The pair accelerated further down on Friday after n/t bears from 114.73 peak took a breather on Thursday for consolidation.
Fresh weakness found footstep just ahead of initial target at 112.31 (top of thick weekly cloud), violation of which would open way for extension towards converged 100/200SMA’s (111.73) and top of rising daily cloud (111.46).
Scenario is supported by weaker dollar on concerns about US tax plan which triggered safe-haven buying.
Weakening daily techs are adding on rising bearish pressure.
Sideway-moving daily Kijun-sen is expected to cap upticks.
Res: 112.90; 113.19; 113.36; 113.87
Sup: 112.31; 111.90; 111.73; 111.46