The pair will be affected on the intraday basis by British Inflation Report hearings and US durable goods orders.
USD/JPY: sharks are around the yen
TP1 113.90 TP2 115.40
On the daily chart, USD/JPY retraced 50% of the wave CD in line with the transformation of the “Shark” into 5-0. Another test of resistance at 113 in case of success will increase the odds of the rally’s continuation towards 113% target of the senior “Shark”.
On H1, the junior “Shark” pattern is transforming into 5-0. To develop correction to the short-term downtrend with its following break bulls need to conquer resistance at 112.80-113 and at 113.25.
EUR/USD met resistance in the 1.1415 area. The pair’s advance in the recent days was quite rapid, so it might be hard for the euro to retain the bullish momentum.
After its extensive decline last week, the USD can make a small comeback.
If we see a pullback from the lower 'Window', the pair is likely going to test the nearest Moving Averages...
Bearish Ichimoku Cloud with falling Senkou Span A and rising Senkou Span B; a dead cross of Tenkan-sen and Kijun-sen with falling lines.
The picture on W1 looks very much like the “Head and Shoulders” with the neckline at 3.68 or 3.56.