USD/JPY (a 4-hour chart)
The Bank of Japan governor Kuroda said that the consumer price inflation was likely to reach 2% in the fiscal year of 2015/16. He also added that the real wages and real incomes would rise from April as the consequences after the sales tax increase have weakened.
The Japan 10-year bond yields increased from 0.33% to 0.40% in March. In this regard, the Bank of Japan should not expect changes in the asset purchase program which can cause the profit-taking wave on the long positions.
The price is finding the first support at 119.20, the next one is at 118.30. 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 shows an upward movement and the Kijun-sen shows a horizontal movement and form a “Golden Cross”. The upward movement will be until the price is above the Cloud.
The MACD indicator is in a positive territory. The price is consolidating.
The pair can grow to the resistance level of 120.40. After breaking 120.40 the buyers may go to 121.60 and 122.40.