The USD/JPY pair rallied right after the US inflation data invalidating a larger drop and signaling an upside continuation. It was traded at 144.14 at the time of writing. The bias remains bullish, so further growth is favored.
You knew from my analyses that the fundamentals could move the markets today. The US CPI rose by 0.1% in August versus the 0.1% drop estimated, while the Core CPI reported a 0.6% growth in the last month versus the 0.3% growth forecasted.
Tomorrow, the Japanese Revised Industrial Production, Core Machinery Orders, and the US PPI and Core PPI could move the price.
USD/JPY Strong Rebound!
The USD/JPY pair dropped below the uptrend line and it has found support at 141.50. The price failed to take out this support and now it has rallied and it stands above the uptrend line.
The ascending pitchfork's upper median line (UML), the 144.99, and the R1 (145.04) represent upside obstacles.
USD/JPY Outlook!
A valid breakout above the near-term resistance levels may activate further growth and brings new buying opportunities.
