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USD/JPY: Bulls eyeing a breakout to the upside

FXStreet (Guatemala) - USD/JPY is currently trading at 121.15 with a high of 121.31 and a low of 121.13.

USD/JPY maintains the 121 handle having posted fresh two month highs fuelled by strong stocks of late and the volatility around the FOMC minutes overnight in the US session. The pair also got the initial lift earlier in the week on the back of the ECB member voicing the Central Banks intensions to front load their QE ahead of the summer months while renewed clarification of the FOMC's optimism for global growth was portrayed in their minutes supporting the US dollar.

Technically, the pair is gearing up on the bid and many analysts are sighting that the conclusion of the fourth month range will be a breakout to the upside with 124.59 as target ahead of 128.45. A break below 118.33 would hold us back again and leave us in to the range again. Levels to the downside come as 120.80, 120.00/40, 119.00/42 and the 118.80 level come as supports before 118.30, 117.80 and the well defined 116 level.

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