USD/JPY’s Upside Trading

Pair’s rally continues. Trading stays on the upside. Firm breach of 114.36 resistance will suggest that corrective retreat from 118.65 has finished at 108.12. If that happens, another rally should align a repeat test of 118.65. Following pivot points include: (S1) 113.83; (P) 114.06; (R1) 114.26.

Breach of 112.88 support should affirm creation of a near term top. If USD/JPY backs down, the prognosis stays bullish.

The lift from 98.97 keeps progressing. Breach of 118.65 will head towards a test on 125.85 maximum. Expansion of the long term uptrend from 75.56 is unlikely. Formation of a top around 125.85 will be closely watched.