USD/JPY might extend gains

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Source: Dukascopy Bank SA
PositionsTodayYesterdayChange
Longs72%71%2.1%
Shorts28%29%-5.5%
Indicator4H1D1W
MACD(12;26;9)BuySellSell
RSI(14)NeutralNeutralNeutral
Stochastic(5;3;3)SellNeutralBuy
Alligator(13;8;5)BuySellSell
SAR(0.02;0.2)BuyBuySell
Aggregate⇗⇒⇘

[ANNOUNCE] On Friday, the USD/JPY currency pair jumped to the 108.55 level. During Monday's morning, the pair was testing the psychological level at 108.65. [/ANNOUNCE] 

From a theoretical perspective, bulls could prevail in the market in the short run, as the exchange rate has to target the upper boundary of the short-term ascending channel. In this case, the rate could reach the 108.75 mark.  

From a technical point of view, it is unlikely, that the pair could go downwards because of the support cluster formed by a combination of the 55-, 100– and 200-hour SMAs, as well the weekly PP and the Fibonacci 38.20% retracement in the 108.41/108.51 range.

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