USD/JPY: Broken trendline and 131.57 overlap puts bears in play
|USDJPY made a sharp reversal in 2022, and touched 126-130 area after BoJ policy YCC adjustment back in December. However that drop appears completed as we see the price rallying in the 4h chart, but it's just another corrective recovery. We were tracking a temporary bounce back to 138 resistance area where bears are already waking up after a complex W-X-Y pattern. At that 138 December 15 level we can also see a gap on JPY futures that was already filled so more JPY strength can be seen now. A broken trend line on the 4h chart, plus overlap with 131.57 opens room for more weakness.
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