Daily Pivots: (S1) 92.49; (P) 92.94; (R1) 93.79; More.

The sharp fall from 93.74 indicates that an intraday top is in place in USD/JPY and turns bias neutral. Note that a break of 90.08 support will argue that rise from 87.36 has completed on bearish divergence condition in 4 hours MACD already. Further break of 91.24 support will confirm this case and target 87.36 support next. On the upside, above 93.74 will in turn indicate that whole rebound from 84.81 has resumed for medium term trend line resistance at 95.08 and 55 weeks EMA at 94.21

In the bigger picture, at this point, USD/JPY is still trading well below medium term trend line resistance at 95.08 and 55 weeks EMA at 94.21. Hence, there is no clear indication of reversal yet. A break of 87.36 support will confirm that rebound from 84.81 has completed. The three wave corrective structure will in turn support the case that whole fall form 124.13 is resuming for 1995 low of 79.75. However, note bullish convergence condition is seen in weekly MACD. Sustained trading above the medium trend line resistance will be the first signal of medium term reversal and in such case, focus will turn to 101.43 resistance for confirmation.

USD/JPY