(Please click on the accompanying chart to enlarge.)
After the substantial bullish dollar move on Tuesday, price on the USD/JPY daily chart, as shown, has risen as of Wednesday morning (New York session) to the brink of a key downtrend resistance line within a triangle-style consolidation. Price has then retreated from this resistance line. The line has been touched at least 4 times since late August. If it is respected today, support to the downside resides around the bottom of the consolidation, in the 103.50-103.80 region. A breakout above downtrend resistance on strong dollar-bullish momentum, on the other hand, should target the key 108.00 level.
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