During the Asian trading session on Monday, the USD/JPY currency pair is trading with a decrease in quotes after a rapid rally to 110.80, remaining within the current support level at 109.89 and the resistance level around the 110.62 mark.
The moving averages with a period of 21 and 55 days turned up, forming a buy signal, noticeably accelerated and continue to move up, increasing the divergence, which allows us to expect the development of an upward trend in this market in the short term. The four-hour chart has entered the area significantly higher than the exponential moving averages, which confirms the preservation of the uptrend in this market in the short term.
The technical picture also shows a fair share of the initiative for buyers, as the MACD histogram entered the area above its central line, and the strength indicator of the current RSI movement rose to the 80 line, confirming the bullish trend in this market in the short term, along with the overbought characteristic.
Thus, we intend to continue buying this trading instrument today.