USD/JPY – Rising Trendline Holds up Bullish Price Action

Forex Technical Update

USD/JPY 4H chart 2/5/2013 9:15AM EST

Trendline: The 4H USD/JPY chart shows a market that has remained bullish throughout the year. Since the later part of January, the bullish trend seemed to have picked up steam as price pushed above 93 to start this week. After a quick correction during the 2/4 session, USD/JPY respected a rising trendline, and pushed to new highs, not seen in 2.5 years.

Don't call a top: Momentum in the 4H chart remains very bullish and the moving averages in this time-frame are also in bullish alignment. Seems like there is still some ways to go. As always with strong trends, don't try to call the top. You will know the market has topped when it shows you, but we are not even seeing a lower high, or lower low these days in this 4H chart.

The 2010 high is around 94.85. Maybe then we will see some  reaction from supply-resistance.

Fan Yang CMT is a forex trader, analyst, educator and Chief Technical Strategist for FXTimes - provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.

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