Since the beginning of the year the currency pair lost almost 5.0% and last week fell more than 1.5% but made a phase change, shifting from a bullish to a bearish phase.
Last week the USDJPY fell with a wide range but found some buying pressure near the 200-week moving average but still closed near the low of the week, in addition managed to close below the previous week low, which suggests a strong bearish momentum.
The currency pair is in a downward correction since 2016 high and broke below the 38.2 Fibonacci retracement and held at the 200 week moving average.
The stochastic is showing bullish momentum and is above the 50 mid line.
Expecting a downward move to the upper band of a weekly support at 107.200 on a break below the Fibonacci retracement at 109.925 (scenario 1) however a break above the Fibonacci retracement at 111.986 may fuel a bullish run up to the 23.6 Fibonacci retracement at 114.537 (scenario 2).