Short term Short, long term LongWell everything is said on the title, but if we do look carefully on the chart, the reversal pattern didn't end yet.
MA50 and MA100 are not crossing yet. We caliber MA on a faster period, we are not there yet.
USDJPY Pair arrived at a 50% Fibo retracement level. That support level is rather strong. Bellow, it's the 100YEN level which is quite strong as well and you would need a serious momentum to break it up.
Therefore, on a short term basis, there is still a romm for a downside, but I don't think that there is a lot of room left.
On macro economic terms, we should bare in mind many datas.
1- BoJ Has decided to end its monetary easing baring in mind the "positive" shape and the recovery of the Japanese economy.
2-FED is still keeping its schedule with regard Tappering. Which means that there won't be any more easy USD on the market.
3- FED's High level official are starting to talk about an eventual increase of interest rate which is something normal when you have printed that much money, in other words with de monetary supply made by FED that is rather normal no matter what is the shape of the economy.
4-On the Monetary Supply M1 + M2 in USD and with FED medium term policy, USD will strenghten against all major currencies.
Therefore there is still a romm between 101 and 100 but, on a medium to long term, USD should strengthen against JPY.
