USD/JPY (a 4-hour chart)
The April US labor market release supported the demand for the US stock market as traders received a signal that the FOMC would not rush to the monetary policy tightening. This factor is a positive one for the pair as it will contribute to demand for the carry trade transactions through the Japanese yen as a funding currency.
In the absence of fundamental factors yesterday the trading day was held in the framework of the low volatility. There was formed a short-term consolidation near the level of 120.00 followed by a slight growth.
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 weak buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen shows a horizontal movement and the Kijun-sen shows a downward movement. The upward movement will be until the price is above the Cloud.
The MACD indicator is in a positive territory. The price is increasing.
We suppose the pair will go to 120.40 first. Having overcome the first target the price might go upwards to 121.60.