USD/JPY had been in a larger corrective uptrend from its Nov’11 low at 75.55 and the uptrend could test the 0.9500/0.9900 resistance on multi-month basis before renewing a long-term downtrend (major resistance is at 101.70). Weekly inverted H&S pattern target is at 92.35. The pair should not close below H&S neckline around 82.85 to maintain the bullish view. A reversal below 82.85/81.70 however would signal retest of the strong 77.10/75.55 support.
A powerful wave 3 rally is in progress. The pair looks to take breather from swing high at 88.40 after a strong run-up. The near term pullback may be a wave [iv] correction which may unfold in a complex manner. The 88.40 resistance needs to cap for the correction view. A break below 86.80 could test the 86.00/85.00 support area before renewing (watch the trend channel and trend line support). A close above 88.40 however targets psychological resistance 90.00 next. A reversal below 85.00 signals a deeper correction and aims for 84.60/83.85.