The Bank of Japan will announce the monetary policy meeting results after which we can see the USD/JPY upward trend acceleration. Low energy prices may force the monetary authorities to revise their inflation forecasts and give a hint to investors to the possible further monetary policy easing. As the market is acting proactively, we can assume that many investors may long in advance.
The first support resides at 118.40, the next is at 117.80. The first resistance stands at 119.20, the next one is at 120.40.
There is a confirmed and a strong buy signal. The price is above the Ichimoku Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement. The upward movement will be until the price is above the Cloud.
The MACD indicator is in a positive territory. The price is consolidating.
The upward bounce potential targets are 119.20, 120.40. If the price falls it will get to 118.40 and 117.80.