The USDJPY yesterday was able to extend above a swing area at the 111.35-583 area twice. And on each break, the price ran out of momentum and rotated back lower.
In the Asian session today, the price rotated down to a lower trend line on the hourly chart, and found willing buyers (green circle 4). The rotation higher has stalled in the old swing area (the high reached 111.558). The subsequent fall in the early European session saw the price rotate back to the same trend line. Support buyers entered once again (see green circle 5).
Where does that trend line come in now?
The trend line is currently at 111.09 and moving higher. Watch that level on the downside today. A move below should lead to more selling. Holding and the buyers still hold the bias/control. Key level today.
On the topside, getting back above the 111.583 level and staying above this time, would be eyed. The high from yesterday at 111.709 becomes the next obvious upside target on a break.
Looking at the daily chart below, the price has nearly completed the V formation. The high from February reach 112.22. That would be a target area on further upside momentum.