USD/JPY technicals: Targeting 200-week MA at 85.20, last breached 5 years ago.
The clean break above technical resistance at 81.50 is yet another bullish indicator and the way is being opened for a move towards the 200-week MA at 85.20; it’s been 5 years since the USD/JPY market last saw the 200-week MA!. There are daily lows near 79.25 and the convergence of the 21-week, 55-week and 100-week MAs just below there giving this bull move a very solid base indeed. There were trailing stops reported yesterday below 81.10 and although we got within 5 pips of that level, the bears were unable to trigger them, yet another sign that the bulls are in charge. Small longs are the way to go here and add on dips for a potential 400 pips on the topside.