Technical Analysis: USD/JPY funneling down to the short-term triangle breakout
USD/JPY nears the break of the symmetrical triangle on a key day comprising US Jobless Claims, PMIs and House voting on a $484 billion aid package. Considering the normal conditions of RSI as well as likely upbeat performance by the data/events, the quote is expected to cross the 107.95 resistance, which in turn will trigger the run-up towards 108.60. However, the pair's further upside will be challenged by 109.25/30, if not then the return of 111.60 can't be ruled out.
On the downside, a clear break below 107.30 could favor the sellers targeting the monthly low near 106.90. If at all the bears dominate past-106.90, 61.8% of Fibonacci retracement close to 105.20 should become their aim. However, intermediate stops to 106.00 and 105.70 should be expected during the fall.