USDJPY stays in the descending price channel

USDJPY stays in the descending price channel on 4-hour chart and remains in downtrend from 112.19, the price action from 108.13 could be treated as consolidation of the downtrend. As long as the pair is in the channel, the downtrend could be expected to continue, and next target would be at 107.00 area. On the upside, a clear break above the channel resistance will indicate that the downtrend had completed at 108.13 already, then the following rebound could bring price to 110.50 zone.

USDJPY chart

By ForexCycle.com