In opinion of Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair faces strong resistance in the 109.70 area. Key Quotes “USD/JPY is seeing a tiny rebound. The market recently charted the TD perfected set up and 13 count on the daily chart and we would expect 106.63/105.87 to hold (fibo +200 month ma)”. “Yesterday we recommended exiting any remaining short positions. It is attempting to recover from circa 107.60. Nearby resistance lies 109.73, 110.67 (March low)”. “We will need a close above 110.67 to alleviate immediate downside pressure and allow for recovery to the 20 day ma at 111.09 and the resistance line at 111.73”. For more information, read our latest forex news.