USD/JPY Pushed higher but yet remains in consolidative phase

The USD/JPY pair jumped to 107.52 during the Asian session and succeeded to hold on gains for most of the last sessions, supported by rising US Treasury yields. Currently the pair is trading around 107.40 but despite the gravitation above 107.00, the  pair remains in a steady consolidative phase that has started from the beginning of April. It’s clearly seen that the pressure to the downside is limited but at the same time bulls are not strong enough to achieve impressive results.

Technically speaking the short term outlook remains neutral to bullish. On the four hour time frame the price is developing its flat moving averages. RSI is located slightly above its mid-line and is aiming north. Stochastic is visiting its overbought territory but has started to lose directional strength. 

However until holding above 107.10 the USD/JPY is favoring the upside rather than a downward move.Below this level stronger support is seen at 106.80 and is case breaking this mark to below, 106.50 is going to be tested. On the flip side, next target for the bull comes with 107.50 and higher at 107.85.