FxWirePro: USD/JPY finds strong resistance at daily cloud, good to go long on break above

• USD/JPY has broken 50-DMA at 111.67, bias remains higher.
   
• The pair finds stiff resistance at 112.31 (Ichi cloud base), break above will see further upside.
   
• Momentum studies are bullish, RSI is strong at 62 levels and biased higher.
   
• Weakness with chance of bearish reversal only below 50-DMA at 111.67.
   
• FOMC meeting and ADP employment report in focus for further impetus.

Support levels: 112, 111.75 (5-DMA), 111.67 (50-DMA), 110.61 (23.6% Fib retrace of 118.662 to 108.13 fall), 110.20 (20-DMA)

Resistance levels: 112.31 (cloud base), 112.86 (cloud top), 113, 113.40 (50% Fib)

TIME  TREND INDEX  OB/OS INDEX    

1H          Bullish                  Neutral    

4H          Bullish                  Neutral    

1D          Bullish                  Neutral    

1W         Neutral                  Neutral    

Recommendation: Good to go long on break above daily cloud, SL: 111.67, TP: 112.85/ 113/ 113.40

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 73.2022 (Bullish), while Hourly JPY Spot Index was at -155.777 (Bearish) at 0700 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.