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USD/JPY - Stalking the Continuation Breakout

Yesterday, I noted that USD/JPY looked bullish after confirming support at and just above 120.00. In the 4H chart, this is also a slingshot signal. The 4H RSI held above 40 as well, which reflected maintenance of the bullish momentum since mid-October.

USD/JPY Pivoting Above 120.00

USD/JPY 4H Chart 11/5

(click to enlarge)

Indeed, the market pivoted above 120.00 and pushed above 121.50 the resistance in the past week and a half. This break is a bullish continuation signal in the short-term as well as a bullish signal for the medium-term as well. 

USD/JPY Daily Chart 11/5

(click to enlarge)

The daily chart shows that price is peeping out of a consolidation that spanned from September to the end of October. This rally is now opening the highs on the year. We can at least anticipate a rally towards the 124.00 area.