USD/JPY (a 4-hour chart)
The yen weakened to 6 –month lasting minimum against the dollar, and USDJPY rose above the level 102 for the first time since the end of May. The member of Japan Bank board - Sayuri Shirai - expressed doubt that inflation in Japan can reach the target level of 2 % in two years on Wednesday, and added that the central bank is open to new easing measures if economic growth falters and deflationary pressures resume.
The market is amplified by expectations of further Japan Bank easing. Credit Suisse raised its forecasts at the USDJPY pair for 3 and 12 months in advance to 110 and 120, respectively, compared with previous 95 and 115.
There is a strong and confirmed buy signal, as the chart is consolidated below Chinkou span, and the Ichimoku cloud is below the price. Tenkan-sen and Kijun-sen are directed upwards. Chinkou Span is below the price, the cloud is growing. Tenkan-Sen and Kijun-sen are horizontal
Bollinger Bands indicates the change of the trend. The bands are widening and are going upwards.
The MACD is in a positive area right now. The histogram is decreasing.
In case of successful breaking above this resistance, the target of a bullish trend will be the level 103.70.