USDJPY bulls still in charge
The US dollar is trading in a narrow range against the Japanese yen currency on Friday, although the overall bullish bias in the USDJPY pair remains intact as price still trades comfortably above the 109.60 level. The bullish inverted head and shoulders pattern on the four-hour time frame is also still valid. Traders should be cautious, as bearish MACD price divergence may be forming across the lower time frames.
The USDJPY pair is bullish while trading above the 109.600 level, key technical resistance is found at the 110.00 and 110.40 levels.
If the USDJPY pair moves under the 109.60 level, sellers may test towards the 109.30 and 109.14 support levels.