USD/JPY Forecast July 13, 2016, Technical Analysis

The USD/JPY pair broke out to the upside during the course of the session on Tuesday, showing real strength as we approached the 105 level. This is an area that should cause quite a bit of resistance, but having said that, if we can break above the 105.50 level, that could be a buying opportunity as there seems to be a lot of fear of intervention or at least stimulus by the Bank of Japan at this point in time. With this, I remain bullish, but realize that we may need to pull back a little bit.