USD/JPY: Negative bias emerging – Commerzbank

USD/JPY is contained in a 3-year down channel, a negative bias will remain while capped by the 111.88/112.23 resistance, per Commerzbank.

Key quotes 

“There is a near term risk of a slide back to the 106.92 recent low. We are neutral to negative below 111.88/112.23, the February high and 2017-2020 down channel.” 

“Initial support is the 106.92 1st April low. A slide back below 106.27, the 50% retracement, is required to alleviate immediate upside pressure for focus to revert back to 104.46, the August low.”