USD/JPY is currently trading at 128.20 in an upwards channel but also in a sideways move at times. Here are two likely scenarios:
- Bullish: a move to the resistance near 129.50 and possible continuation to the ATR targets at 129.67.
- Bearish: A break down here would set up the move to the ATR target at 127.45.
Watch the DXY for any change in direction. The ATR for the pair currently is 114 pips per day and its 180 day average is 99 pips per day.
DXY is currently up but could be topping out at the time of this post.
