USDJPY - break out on the cards IF positive Non-farm data

Following on from my last note 13/08/13 USDJPY looks like were hovering around the top of the channel and more importantly, above the 98.00 support level.  Not sure if we will see too much movement ahead of the Non-farm payrolls later today at 1.30pm (GMT) though, but on a positive number we are poised to break out on the down channel and 20day SMA, confirming the cross on the MACD.  A negative number could push us back down and could retest the 96.60 level again.



I would enter a long position on a break and close above yesterday's high (98.42) initiating upside targets of 101.50 and 103.70; with a stop at 97.50, i.e. below this mornings low, incase we have a 'fakeout'.  Watch the numbers closely this afternoon.

Charts sourced from IG Index