USD/JPY is traded within an uptrend on the H4 chart. It has decreased a little from around 106.00 coming lower towards the red uptrend line failing to reach it. Now it has increased significantly and is traded at 106.14 level above 106.00 which is considered a resistance area.
Jumping above this area and reaching fresh new highs represent a buying signal, opportunity. USD/JPY could continue to increase as long as it's traded above the uptrend line. You know from my previous analysis that the pair should develop an important upwards movement, uptrend, after breaking above the downtrend line.
Trading Conclusion!
We may have a buying opportunity if USD/JPY passes above the 106.20 level. The next upside target is seen at the 107.00 psychological level.
