I expect the short-term trend in USD/JPY to change to bearish. The pullback is not completed yet and I expect the pair to get rejected above 118 and retrace towards 115. I'm bearish as long as the price is below 118.65 looking for a test of 115.
USD/JPY is testing short-term resistance at 118.20-118.30 where the red trend line is found. The RSI is diverging and overbought. If
the short-term support at 117.80 is broken, it will confirm by bearish short-term scenario.
USD/JPY is making higher highs and higher lows. However currently I expect the pairwon't be able to make a higher high and will push lower towards the 4 hour Ichimoku cloud support between 115-116. As long as price is above the upward sloping red trend line, long and medium-term trend remain bullish.
