USD/JPY has been trading sideways in the past 24hours at the price of 107.70. I found very interesting to be on the long side due to re-test of the middle Bollinger band (20SMA) and there is potential more upside yet to come. I do expect potential test of 108.40.
Blue lines – Important support levels
Pink rectangle – Resistance and upward objective
Purple rising line – Expected path
MACD oscillator is decreasing on the downside momentum and there is expectation for more upside to come and potential new momentum up. USD/JPY is trying to created 3-bar balance, which may lead to potential next direction move. Support levels are found at 107.20 and 106.92 and resistance at 108.40.