USD/JPY (a 4-hour chart)
The yen resumed its decline against the dollar amid the coming expectations that the continuing divergence in the Fed and the Bank of Japan monetary policy approaches will continue to put pressure on the yen against the dollar. It is known that the Japan industrial production rose up to 4% m/m in January while it was expected increase by 2.7% m/m.
There was the last week maximum of 119.85 update and the pair rose up to the psychological level of 120.00. The price fixed above the resistance level of 119.20. The volumes are in reduced zone.
The price is finding the first support at 119.20, the next one is at 118.00. The price is finding the first resistance at 120.40, the next one is at 121.60.
There is a confirmed and a strong buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement. The upward movement will be until the price is above the Cloud.
The MACD indicator is in a positive territory. The price is growing.
The pair is going upwards. The bulls’ target is the level of 120.40.