USDJPY TECHNICAL ANALYSIS ON H1 TIMEFRAME
The pair has staged the expected slide and almost hit the 107.75 short-term target/support.
Thereafter, it has staged a rebound and covered almost 61.8% Fibonacci retracement of the previous slide from 31 Oct high to 01 Nov 2019 low at 108.80.
the hourly RSI oscillator has flashed a bearish divergence signal at its extreme overbought level which suggests that the on-going rebound has reached an “overextended” condition where the risk of a minor downside reversal increases.
Maintain bearish bias below 109.30 key short-term pivotal resistance for another potential downleg to retest the “Ascending Wedge” support/lower boundary at 107.80/75.