The USDJPY pair has made a significant technical move, breaking above the falling price channel on the 4-hour chart. This breakout suggests that the downward movement from 147.20 may have found its bottom at 139.57, potentially setting the stage for a new upward trend.
Currently, the pair is testing a crucial resistance level at 144.05. If the USDJPY manages to push through this barrier, it could open the door for further gains. The next key resistance levels to watch are around 146.20, and beyond that, the previous high of 147.20.
However, traders should remain cautious and keep an eye on potential support levels as well. The initial support sits at 142.40. If the price were to fall below this level, it could signal a pause in the upward momentum, potentially leading to a retest of support levels around 141.60 and 140.40.