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Forex pairs in this Article » USD/JPY (Barcelona) - USDJPY continues to expand higher, and after the 88.80 upside resolution, which came after a last London session low of 88.06, the pair is back enjoying new highs in Asia at 89.20, over 0.70% above its NY close at 88.55.

Just 24h ago, the vast majority of market commentators appeared quite skeptic over the lack of ammunition by Japan to continue weaken the Yen, following the post BoJ Yen-positive reaction. However, by the impulsive upmove in USDJPY price action, the Yen's technical picture is certainly on the mend, having broken key tech level and now facing next troubling area at 89.30, Jan 21 swing low.

Some Yen bulls may be hoping that on its relentless course north, the pair may develop indications of a potential head and shoulder pattern, suggesting the most immediate logical target around 89.60, which would carve our the right shoulder. On the downside, round number 89.00 ahead of broken range high at 88.80 are the levels that should initially protect emerging buyers.
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