FX.co ★ USD/JPY Upside Activated

USD/JPY has ignored the near-term upside obstacles (downtrend line, 105.79 former high) and now it seems determined to approach and reach new highs. Still, the currency pair could retreat a little in the short term to retest the broken levels before resuming its upwards movement, a leg higher.

• USD/JPY Trading Recommendations

Buy USD/JPY if it reaches 106.20. The 107 and 108 psychological levels could be used as upside targets.

The bullish scenario could be invalidated only by a drop somewhere below the 105.50 level.