Technical Analysis: USDJPY reverses from 107.45/50 resistance confluence amid risk-off sentiment
Global markets turn risk-off at the week's start as fears of the coronavirus (COVID-19) resurgence gained momentum. As a result, the USDJPY pair extends pullback from a confluence of 200-bar SMA and 61.8% Fibonacci retracement. Although RSI conditions offer a little room on the downside, the bears are less likely to relinquish controls unless the pair breaks above 107.45/50 resistance. Having said that, 106.60/55 seems to be the immediate support during the pair's further downside ahead of the May month low near 106.00. In a case where the bears keep dominating past-106.00, 105.30 and 104.40 could offer intermediate halts before dragging the quote towards the yearly bottom surrounding 101.20.
Alternatively, a clear break of 107.50 will trigger short-term recovery moves towards May 19 high near 108.10. Though, 108.50 and 109.10 may challenge the buyers beyond 108.10. Should there be a clear rise past-109.10, the monthly top close to 109.85 can be easily overlooked to challenge the 110.00 threshold.