USD/JPY is expected to continue its upside movement. The pair is holding on the upside and is trading above its ascending 20-period and 50-period moving averages, which play support roles. The relative strength index is bullish and calls for a further advance.
To conclude, as long as 109.85 is not broken, look for a new rise to 110.85 and even to 111.25 in extension.
Alternatively, if the price moves in the opposite direction, a short position is recommended below 109.85 with a target at 109.50.
Chart Explanation: The black line shows the pivot point. The current price above the pivot point indicates a bullish position, while the price below the pivot point is a signal for a short position. The red lines show the support levels and the green line indicates the resistance level. These levels can be used to enter and exit trades.
Strategy: BUY, Stop Loss: 109.85, Take Profit: 110.85
Resistance levels: 110.85, 111.25, and 111.70
Support Levels: 109.50, 109.00, 108.45
