USD/JPY Technical Analysis: Pullback from channel resistance favors the return of 110.60

• Having witnessed pullback from a week-long ascending trend-channel resistance, the USD/JPY pair trades near 110.80 ahead of European open on Friday.
• Considering the pair’s repeated failures to surpass the channel resistance, the chances of its immediate decline to the adjacent upward sloping support-line, at 110.60, can’t be denied.
• However, 38.2% Fibonacci retracement of its downturn from March 15 to 25 could challenge sellers around 110.50, failing to which might recall 110.20.
• It should also be noted that the quote’s additional south-run past 110.20 may find it hard to sustain unless the channel-support figure of 110.00 breaks.
• In that case, 109.70 and 109.00 could gain bears’ attention.
• Meanwhile, an upside clearance of 110.90 channel resistance may still not favor pair’s rally as a fortnight-long resistance-line at 111.00, followed by 61.8% Fibonacci retracement of 111.05 and March 19 low around 111.15 might question the buyers.
• Should there be a rise beyond 111.15, 111.40, 111.65 and 111.90 may appear in the spotlight.

USD/JPY hourly chart