USD/JPY Price Analysis: Bears moving in from 50% mean reversion resistance

• USD/JPY bears stepping in at a critical resistance level. 
• Bears will seek a break of the near term hourly support for a downside continuation. 

USD/JPY has met resistance in an effort to correct from the recent structure lows which opens the prospects of a downside continuation on a restest of and break of the support structure. 

The following illustrates the mechanics for such an outcome from an hourly perspective and down to the 15 and 5-minute charts. 

USD/JPY hourly chart

The hourly chart is bearish below the 21-SMA and trendline resistance. 

A break of support following the test or the 50% mean reversion level opens the risk of a retest of a structure and a subsequent downside follow-through. 

USD/JPY 15-min chart

The Momentum indicator is still in bullish territory and it will not be until the 8 open vs 8 close cross-over that bears will seek to fully engage. 

USD/JPY 5-min chart

The 5-min chart shows that there is still the potential of a restest of the resistance before the market either breaks higher or melts in favour of the bearish thesis.