USDJPY Bounced Nicely Off Its Support, Remain Bullish

USDJPY tested its major support at 106.64 (61.8% Fibonacci extension, 50% Fibonacci retracement, 61.8% Fibonacci retracement, horizontal overlap support, ascending support line) where we expect to see price pushing up all the way to its resistance at 107.50 (horizontal swing high resistance). We do have to be cautious of its intermediate resistance identified at 107.04 (50% Fibonacci retracement, 100% Fibonacci extension).

Stochastic (21, 5, 3) made a corresponding approach to its support at 9.02%. A bullish divergence with price has also been identified which contributes to our bullish bias.