USD/JPY Forecast July 20, 2016, Technical Analysis

The USD/JPY pair went back and forth during the course of the session on Tuesday, testing the 105 level as support. If we can break above the top of the neutral candle for the day on Tuesday, the market should continue to go much higher, perhaps reaching towards the 110 handle. If we break down below the 105 level, and more importantly the 104 level below there, then the market will probably roll over again. This point though, I have to believe that the market has a significant amount of support underneath due to the Bank of Japan.