The USD/JPY has bounced more than 100 pips during low volatile sessions after the last NFP result.
The Cup with Handle pattern was successful and the breakout has reached 109.00 zone in a thin trading conditions. However, today the Fed Chief Powell is expected to testify on the Semiannual Monetary Policy Report before the House Financial Services Committee, in Washington DC. Traders will look for cues regarding future monetary policy and possible rate decisions. Today we should have the volatility in markets.
Technically a close above 109.00 implies further bullish continuation towards 109.69 but rejections from the 109.00 zone might retest the POC 108.30-55. A drop below 108.25 should target 107.85 as the first target.
The POC zone is essential for either a bounce or a breakout below.
The analysis has been done with the CAMMACD.MTF template.
For more daily technical and wave analysis and updates, sign-up up to our ecs.LIVE channel.