Japanese Yen Runs Into 21 Day SMA

Commentary: The USDJPY rally is likely coming to an end near term. There are now 5 waves higher from 107.20, indicating that the USDJPY has more upside potential, but not before a corrective decline that likely sees at least 109.46. A push to the 38.2% of 117.93-107.20 at 111.30 is still very much a possibility but at this point, downside risk outweighs upside potential.

We will look to re-establish long positions on the expected decline.

Strategy: Exit bullish position