USD/JPY Price Analysis: Break below 134.30 to confirm a double top reversal

• A double top formation strengthens the odds of a bearish reversal in the asset.
• An establishment below the 20-and 50-period EMAs adds to the downside filters.
• The RSI (14) is attempting to shift into the bearish range of 20.00-40.00.

The USD/JPY pair has witnessed a significant fall after violating the crucial support of 135.55 in the Asian session. The asset has challenged its three-day low of 135.00 and is expected to remain in the grip of bears.

On a four-hour scale, the formation of Double Top has brought an intense sell-off for the greenback bulls. The greenback bulls witnessed stiff resistance while attempting to breach the 23-year high around 137.00.

It is worth noting that the asset has established below the 20- and 50-period Exponential Moving Averages (EMAs) at 135.84 and 135.54 comfortably. This signals the strength of the yen bulls, which will result in more downside ahead.

Meanwhile, the Relative Strength Index (RSI) (14) has slipped into the bearish range of 20.00-40.00, which adds to the downside filters.

A downside break of the critical support of the June 23 low at 134.26 will trigger the formation of the double top and will drag the asset towards June 13 low at 133.59, followed by June 7 high at 133.00.

On the flip side, the greenback bulls could regain control if the asset oversteps Friday's high at 136.00. This will strengthen the greenback bulls to recapture its 23-year high at 137.00. A breach of a 23-year high will drive the asset towards the round-level resistance at 138.00.

USD/JPY four-hour chart