Chart of the day

USDJPY is breaking below the first line of defense of the uptrend 146. To invalidate the upside extension, we must see a confirmed break below 132 to confirm that we had the fifth upside wave finished.

If the fifth-wave upside seems to be finished, then we could see an extension lower to 115 if we get a break below 132. We need to see a clear confirmed break below 132 for the upside fifth wave to be confirmed as finished and for the short trade entry to be justified.

Short trades could be opened here with a stop just above 148 upon a pullback higher for a breakout retest. Long trades should be opened only upon a break above 148. The instrument is breaking below a key short-term resistance here.