FxWirePro: USD/JPY bounces off 110-EMA, break above 21-EMA to see further upside

Refer USD/JPY chart on Trading View

• USD/JPY is extending upside for the 2nd straight session, trades 0.26% higher on the day.
   
• The pair has bounced of 110-EMA support on the daily charts and has broken above 55-EMA.
   
• Channel breach keeps scope for downside, but technical indicators on the daily charts still point to higher bias. We do not see any major signs of reversal.
   
• Price action finds stiff resistance at 21-EMA at 111.20, break above could see further upside.
   
• Retrace and close below 5-DMA will see drag till 110-EMA. Break below will see extension of downside.

Support levels - 110.91 (5-DMA), 110.24 (110-EMA), 109.91 (38.2% Fib & 200-DMA)

Resistance levels - 111.20 (21-EMA), 111.40 (channel base, May 21 high)

FxWirePro Currency Strength Index: FxWirePro's Hourly USD Spot Index was at 117.869 (Bullish), while Hourly JPY Spot Index was at 81.6686 (Neutral) at 0930 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.