Karen Jones, an analyst at Commerzbank, thinks that USD/JPY pair has eroded the 50% retracement at 108.43 (of the move down from April) and the mid-September high at 108.48.

• “It is approaching the 200-day ma at 109.07 - we would allow for this to hold the initial test. Beyond this consolidation, the market is well placed to try the topside once more. Above the market lies the 55 and 200-week moving averages at 109.85/110.18 and the 2015-2019 downtrend at 111.05.
• Failure at 106.47 will target 106.00, then 105.32/78.6% retracement which is the last defence for the 104.46 August low.”