USD/JPY Technical Analysis: Flirting with bull breakout

• The USD/JPY has charted a bull flag-like pattern on the hourly chart.
• A convincing break above 111.30 (flag hurdle) would signal a continuation of the rally from the low of 110.03 and could yield a rally to 112.75 (target as per the measured height method). On the way higher, the pair could encounter resistance at 111.49 (Aug. 24 high).
• The 100-hour moving average (MA) is located above the 200-hour MA, which indicates the path of least resistance is to the upside.

Hourly Chart

Spot Rate: 111.27

Daily High: 111.32

Daily Low: 111.13

Trend: Bullish

Resistance

R1: 111.30 (flag hurdle)

R2: 111.49 (Aug. 24 high)

R3: 112.15 (Aug. 1 high)

Support

S1: 111.15 (ascending 100-hour MA)

S2: 110.93 (flag low)

S3: 110.59 (July 26 low)