USDJPY cannot decide its direction
The USDJPY pair has been trading in a downward sloping channel for two weeks.
It seems that nor the bulls neither the bears can have the upper hand and push the course their way. There is indecision in the pair´s movement, it has been declining for almost a year now and it seems that the bulls are trying to step in and force the price to go up. If the bulls manage to push the price above the upper line of the channel, the price will be trading above its 50 moving average and could test the previous high around 104.34 (A).
The next resistance levels would be around 104.80 and 105.70. The RSI indicator ias also showing signs of strength above its 50 line. If the bears would be stronger and pushed the price below the lower boundary of the channel, it could test the previous low at 102.60 (B).