USD/JPY (a 4-hour chart)
The yen remained under pressure when Japanese Prime Minister Shinzo Abe said that he intended to implement the planned rise of sales tax in April, if the economy did not suffer from sudden shocks. Many analysts expected that Abe to postpone the planned increase, that is a threat to the fragile recovery of the Japanese economy. Only by the end of the trades the pair dollar/yen fell amid the dollar’s weakness.
The price is finding the first support at 112.20, the next one is at 111.40. The price is finding the first resistance at 113.00, the next one is at 113.80.
There is a confirmed and a strong buy signal. The price is above the Ichimoku Cloud and it is above the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows 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.
The potential decrease targets are two levels of support: 112.20 and 111.40.