USD/JPY (a 4-hour chart)
Last week the debt market experienced the US 10-year Treasury bond yields strong growth which increased the demand for the US dollar. Taking into consideration the fact that traders ignored the
Buyers have broken through the resistance level of 120.40 for the fifth time which had been restraining the US dollar growth against the Japanese yen for two weeks. However the pair could not fixate above the level of 120.40 and fell.
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 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 correcting.
We suppose the pair will go to 120.40 first. Having overcome the first target the price might go upwards to 121.60.