USD/JPY Technical Analysis: below 109.50, trading in the 109.00-109.80 range

• USD/JPY is consolidating in the 109.00-109.80 range after the 250-pip fall last week.
• The bears see the current consolidation as a bear flag which could potentially lead to a bearish breakout.
• The risk remains skewed to the downside as the pair trades below the 50 and 100-period simple moving average on the 4-hour time-frame.

USD/JPY  15-minute chart

Spot rate:                    109.35
Relative change:        -0.04%      
High:                            109.83
Low:                             109.23

Trend:                          Bearish

Support 1:                109.23 Monday’s low.
Support 2:                109.00 handle and swing low (May 24).
Support 3:                108.65 swing low (April 5).

Resistance 1:          109.50 psychological level.
Resistance 2:            110.80-110.00 area, 3-day’s range top and handle.  
Resistance 3:          110.30 swing high (May 23).