USD/JPY bounces off May high

The pair managed to find sufficient support at 103.74/72 yesterday and it has already closed above the monthly R1. This means there are no more important levels until the resistance at 104.94/92. However, once the U.S. Dollar rises this high, there will be a substantial possibility of a retracement back to up-trend support line that has been in force since the end of October.

While the ratio between the bulls (56%) and bears (44%) is the same as yesterday, the advantage of orders around the current price to acquire the buck is rapidly decreasing—from 42% to 24% within 50 pips and from 62% to 52% within a larger region of 100 pips from the spot.