FxWirePro: Don't get bear trapped in USD/JPY, upswing bounces above DMAs, likely to extend upto resistance at 111.063

After long whipsaws on DMA curves, the bulls have managed to bounce above DMAs.

The current upswings are most likely to drag upto the next resistance levels.

The next major resistance is at 111.063 & the extension of current upswing is likely as the rally is substantiated by both leading and lagging oscillators.

Daily RSI evidences bullish convergence to the rising prices, while same is the case on stochastic curve as well that signal upswing momentum.

MACD evidences bullish crossover but below zero levels, while you can see 7DMA crossing over 21DMA which is bullish signal.

On broader perspectives, we don’t think we’ve to explicitly mention “intermediate trend is bearish” as all technical indicators are bearish bias.

“Long Legged Doji’ is traced out on monthly graph, while 7EMA crosses below 21EMA, price dips are in conformity to leading & lagging indicators and massive volumes.

MACD also confirms the long term downtrend continuation.

Hence, with short term upswing momentum, we advise short term bullish targets and to view rallies as fresh shorting opportunities for medium term investors.

On an intraday trading perspective, bulls can better utilize rallies and trade in one touch binary calls for targets of 110.634 levels.