FX.co ★ USDJPY bounces but remains below key resistance

USDJPY is trading at 107.45 and in order to be able to see a move towards 110, we need bulls to break the resistance area of 108.30-108.50. Price has formed a bullish pattern and a break above it will signal a move towards 110.60.

In Ichimoku cloud terms price has respected cloud support and stays above it. If the two indicators (red and green) cross, we will have a weak sell signal. If the red line (tenkan-sen) stays above the green line (kijun-sen) we also remain bullish for the short-term trend at least. Support is at 106.45-106.70, bulls do not want to see this broken.