USD/JPY Higher

Yesterday USD/JPY was seen at neutral stance and was stuck within tight range. But today better than expected number in the US ADP awakened the bulls. The pair broke the recent range and conquered the key resistance at 114.00. The current market price is 114.60 and is slightly above major handle 114.50 – the 23.6% Fibonacci retracement of latest November to December up move.

On the four-hour time frame is seen that the pair has advanced above the 100-day and 200-day SMAs, while the 20-day SMA is turning to north. RSI and stochastic are located within extreme overbought region and are displaying strong bullish momentum.

Nevertheless the bullish trend in the medium term might be confirmed only if USD/JPY advance beyond 114.95 – 115.30 area (late January’s and February’s highs).