USDJPY Forecast:

The USDJPY continued the downside consolidation yesterday. On h4 chart below we can see that after violated the bearish channel (red) the pair has been moving a new bullish channel (blue) but the price now is challenging the lower line of the bullish channel and 90.40 area. As long as the pair stay above 90.40 and the bullish channel remains valid, I still prefer a bullish scenario targeting 91.50 and 92.50 area. Break below 90.40 and violation to the bullish channel should lead us into no trading zone as direction would become unclear.