USDJPY continues to consolidate in the 107.90-1o5.60 region, but we believe that the pair is poised to break higher and test at least the mid 108s. A 61.8% Fibonacci is at 108.50 and a former congestion area is at 108.30. Although we remain long term bears due to the EW structure on the daily, COT data suggests that a more pronounced rally is possible if not probable.
Al Bawaba
