USD/JPY dropped in the short term after registering strong growth. Now is traded at 109.67 above 109.63 former high. The price could still increase as long as it stays above the uptrend line.
The pair failed to stabilize below the uptrend line, so the outlook remains bullish, USD/JPY could increase after ending its current decline. It could test and retest the former high and the uptrend line before resuming its growth.
Trading Conclusion!
The current decline could help us to catch a new upside movement towards the 110.88 higher high.
The upside scenario will be invalidated if the rate drops and stabilizes below the uptrend line. Coming back above 110.00 psychological level may represent a good buying opportunity. Right now is risky to buy this pair as the price could drop below the uptrend line.
