USDJPY is facing channel resistance

USDJPY is facing the resistance of the descending price channel on 4-hour chart. A clear break above the channel resistance will indicate that the downtrend from 112.19 had completed at 108.13 already, then further rise to 110.50 area could be seen. On the downside, as long as the channel resistance holds, the rise from 108.13 could be treated as consolidation of the downtrend, and further decline to 107.00 area is still possible after the consolidation.

USDJPY chart

By ForexCycle.com