USD/JPY increased as much as 110.59 today and it seems determined to resumes its growth. The bias is bullish after the pair invalidated a larger corrective phase. It's located in the buyer's territory, so it could climb higher in the upcoming week.
DXY and JP225's further growth could boost the pair. The Dollar Index stands higher even if the US data have come in mixed today. The Flash Manufacturing PMI was reported higher at 63.1 versus 62.0 estimates signaling further expansion.
Moreover, the Flash Services PMI dropped unexpectedly from 64.6 to 59.8 points, the specialists have expected the indicator to remain steady at 64.6.
USD/JPY More Gains In View!
USD/JPY failed to stabilize under the ascending pitchfork's median line (ml) signaling strong buyers. The pair has decreased a little after escaping from the down channel, its failure to retest the broken downtrend line signaled an upside movement.
Now it is pressuring the weekly R1 (110.58) level. Jumping and closing above this static resistance could validate further gains. 110.96 is seen as an upside target as well as an obstacle.
Outlook!
The new higher high registered today after closing above 110.34 former high was seen as a buying opportunity. The bias is bullish as long as it stays above the ascending pitchfork's median line (ml).
The ascending pitchfork's upper median line (uml) is seen as a major upside target.
The material has been provided by InstaForex Company - www.instaforex.com