- Bulls are taking on daily resistance and so far so good.
- However, USD/JPY is overextended and due for a correction.
USD/JPY has been on a one-way street in the last few days and has penetrated a critical daily structure, albeit without much conviction.
There is the risk of a test to the 38.2% Fibonacci, but below there, the bears will look for a run all the way back to test bullish commitments at the confluence of the 21-day EMA, prior resistance and a 61.8% Fibonacci retracement.